PKF O’Connor Davies Partners with Investcorp and PSP Investments to Drive Growth

PKF O’Connor Davies Partners with Investcorp and PSP Investments to Drive Growth

Harrison, NY – December 2024 – PKF O’Connor Davies (PKFOD), an accounting, tax, and advisory firm with FY23 net revenue of $377.5 million, has secured a strategic growth investment from Investcorp, a global leader in alternative investments, and Public Sector Pension Investment Board (PSP Investments), one of Canada’s largest pension managers. This landmark transaction will bolster PKFOD’s expansion plans, enhance its service offerings, and elevate the client experience.

A Transformational Investment for Growth and Sustainability

The infusion of capital positions PKFOD to strengthen its balance sheet, enabling increased M&A activity, advancements in technology, and the development of new service lines. While terms of the transaction remain undisclosed, the partnership is expected to solidify PKFOD’s position as a leader in the accounting, tax, and advisory sectors.

Kevin Keane, Executive Chairman of PKFOD, emphasized the strategic significance of this collaboration: "Since inception, our identity as an organization has been our enduring commitment to service. This investment from Investcorp and PSP validates that we are an attractive business with a great brand, great talent, and great customers. Both investors bring a wealth of experience in supporting profitable, industry-leading companies, and we’re thrilled about the opportunities ahead.”

Backing by Established Industry Players

Steve Miller, Co-Head of North America Private Equity at Investcorp, highlighted the firm’s role as a catalyst for growth in professional services: "In recent years, Investcorp has become a partner of choice for ambitious organizations seeking to scale. Together with PSP Investments, we’re excited to support PKFOD’s leadership team and its proven track record of success. This investment will accelerate the firm’s growth and enhance its competitive position in the accounting, tax, and advisory sectors."

David Morin, Managing Director and Head of North America Private Equity at PSP Investments, expressed excitement about the partnership:

"We are pleased to collaborate with Investcorp and PKFOD, providing strategic capital to help the firm realize its full potential during this next chapter of growth."

Vitali Bourchtein, Principal at Investcorp, added: "With the evolving ownership rules in the sector, we’ve been seeking the right platform to support. PKFOD stood out due to its leadership team, exceptional financial performance, and robust culture. This partnership will provide resources to enhance the firm’s market position and service capabilities.”

Maintaining Independence Under an Alternative Practice Structure

PKFOD will continue operating under its current alternative practice structure, ensuring compliance with professional standards. Attest services will remain the responsibility of PKF O’Connor Davies LLP, while tax and advisory services will be delivered by PKF O’Connor Davies Advisory LLC and its subsidiaries.

Advisors and Legal Support

The transaction, which has received regulatory approval, was facilitated by:

• Capstone Partners as PKFOD’s sole financial advisor
• Levenfeld Pearlstein as legal counsel to PKFOD
• Gibson Dunn as legal advisor to Investcorp
• Weil, Gotshal & Manges and McDermott Will & Emery as advisors to PSP Investments

This investment marks a pivotal moment for PKF O’Connor Davies, signaling its commitment to innovation, growth, and maintaining a client-focused approach in the evolving landscape of professional services.