AlixPartners, the professional services firm, is to acquire THM Partners, its smaller rival, amid growing consolidation in the industry.
Sky News has learnt that AlixPartners will announce a deal on Thursday to buy THM in a deal understood to be worth tens of millions of pounds.
THM, which was previously known as Talbot Hughes McKillop, specialises in working with distressed companies, often by installing chief restructuring officers into them.
The businesses it has worked with over the last decade include Center Parcs, Travelex and Travelodge.
Acquiring THM will add roughly 40 people to AlixPartners’ workforce and will come during a period of rising insolvencies in Britain.
AlixPartners provides a broader range of advisory services but is also a specialist in financial restructurings, having been administrator to major British companies in recent years such as Thomas Cook.
It is currently working on an accelerated sale of Hunter Boot, the prominent footwear maker.
The UK restructuring market has seen a string of corporate transaction in recent years.
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KPMG sold its operation to HIG Capital, a private equity firm, with the entity subsequently renamed Interpath Advisory, while Deloitte’s UK restructuring business was sold to Teneo.
Neither AlixPartners – which itself is part-owned by two Canadian pension funds and a private equity firm – nor THM would comment on Wednesday evening.