Bain Capital has made a minority investment of $250 million in the business services firm Sikich. The investment will be used to finance Sikich’s expansion plans, marking the first outside investment in the Chicago-based company since its founding in 1982. The $250 million investment is structured as preferred equity, according to a joint statement from the two companies.
Sikich’s Chief Executive, Christopher Geier, stated that the company has reached an “inflection point” in its growth. Bain’s involvement will help Sikich take the next steps in its development, as the company has doubled in size over the last five years. Sikich plans to further expand through new acquisitions and strategic partnerships. The valuation of Sikich following the investment was not disclosed.
With more than 2,000 employees operating across the U.S. and internationally, Sikich offers services such as auditing, managing employee programs, and succession planning. Bain Capital Special Situations’ partner, Cristian Jitianu, highlighted Sikich’s success in gaining market share in a fragmented market.
Despite a decrease in large leveraged buyout volumes in recent years, growth equity investments by private equity firms have remained at healthy levels, according to a report from data provider PitchBook. This trend suggests that businesses like Sikich, with strong growth potential, continue to attract investment interest.