Claire’s administrator and Sir Jim Radcliffe advisor heads to £900m auction

Investment bank Moelis has been appointed to run the sale process on behalf of HIG Europe, which owns a controlling interest in Interpath.

The move marks a significant moment for the consultancy, which has become increasingly prominent through its work on major restructuring mandates.

Interpath has continued to strengthen its position in the UK advisory market, having grown steadily since its formation.

The business has been advising Sir Jim Ratcliffe on a wide-ranging programme of cost reductions at Manchester United, adding to its roster of high-profile assignments.

Financial market insiders say numerous private equity firms are preparing to examine the opportunity, with Blackstone, Bridgepoint, Onex, PAI Partners and Permira among those expected to enter the bidding.

City sources report strong interest in Interpath, with HIG receiving a large number of early enquiries from potential buyers.

These unsolicited approaches followed reports that Moelis had been chosen to oversee a structured disposal.

Banking sources say the level of competition reflects continuing appetite for professional services businesses, especially those with established credentials in corporate restructuring and turnaround work.

Interpath was created in 2021 when KPMG UK separated its restructuring division in response to shifting regulatory requirements in the auditing sector.

The move was part of a broader pattern of divestments by the major accountancy firms, which had been under increasing pressure over potential conflicts between their auditing and advisory arms.

High-profile corporate collapses, including BHS and Carillion, intensified concerns among regulators about the independence of auditing operations within the big four.

As scrutiny increased, firms restructured their businesses to address compliance demands, and KPMG’s decision to divest its restructuring practice was one such example of these changes.

Under HIG’s ownership, Interpath has recorded substantial financial progress.

Earnings before interest, tax, depreciation and amortisation have doubled since the private equity firm acquired the business around four and a half years ago.

The consultancy is also expected to deliver revenue growth of 20 per cent in the current financial year.

Interpath has secured a number of major instructions, including its appointment as administrator for the British and Irish arms of Claire’s, the fashion accessories retailer that entered insolvency proceedings over the summer.

Our Standards: The GB News Editorial Charter