Houlihan Lokey Advises an Affiliate of Sun European Partners, LLP

Houlihan Lokey is pleased to announce that an affiliate of Sun European Partners, LLP (Sun European), has completed the acquisition of K3 Capital Group plc, an AIM-listed, multi-disciplinary advisory services provider for small and medium-sized enterprises specialising in M&A, restructuring and insolvency, and tax advisory services in the UK. This public takeover was effected through a scheme of arrangement, which became effective on 14 February 2023.

Sun European Partners, LLP, is a leading private investment advisory firm, focused on partnering with outstanding management teams to accelerate value creation. Since 1995, affiliates of Sun European have invested in more than 475 companies worldwide, with revenues in excess of €40 billion across a broad range of industries and transaction structures. The company has built a reputation as a trusted partner, recognised for its operational experience. Sun European Partners focuses on defensible businesses in growing markets with tangible performance improvement opportunities in the business services, consumer, healthcare, industrial, and technology sectors. Sun European Partners has offices in London and affiliates with offices in Boca Raton, Los Angeles, and New York.

Founded in 1998, K3 is a multi-disciplinary advisory services provider for SMEs, specialising in M&A, restructuring and insolvency, and tax advisory services in the UK. K3 has a strong record of accretive add-ons, having completed nine acquisitions since 2017, transforming K3 from a single division focused on business sales into a multi-disciplinary advisory group providing complementary services across its three core divisions. K3’s unique marketing platform has created a differentiated go-to-market strategy across the wider business, enabling K3 to drive organic growth by proactively engaging with prospective clients.

The acquisition highlights Sun European’s drive and focus on seeking strong companies within the professional services space. Other examples of this include the acquisition of Fletchers Solicitors in 2021, which has grown considerably under Sun European’s ownership through a combination of accretive M&A and organic growth initiatives. Sun European is aiming to use a similar strategy to help K3 achieve its growth ambitions.

Houlihan Lokey served as the exclusive financial advisor to an affiliate of Sun European Partners in a deal that exemplifies the success of the firm’s integrated offering of M&A, debt capital markets, and public equity advisory services.