Key Takeaways
- • New Mountain's Grant Thornton Advisors has closed a $5bn all-cash take-private of CBIZ, the listed business services company.
- • The transaction takes CBIZ private and spins out its benefits and insurance services segment as a standalone company backed by New Mountain.
- • The deal is classified by PEI as a business services transaction in North America, reported as a brief.
Summary
Grant Thornton Advisors, a portfolio company of New Mountain Capital, has closed a $5bn all-cash take-private of CBIZ, according to PEI Private Equity. The transaction removes CBIZ from public markets and returns the company to private ownership.
As part of the structure, CBIZ's benefits and insurance services segment will be spun out as a standalone company backed by New Mountain. The source article is a brief and does not provide further detail on financing structure, valuation multiples, or the post-closing governance of either entity.
The deal is categorized by PEI under Deals, North America, US, and Business services. For allocators tracking private equity take-privates in professional and business services, the transaction is a notable large-scale example of a sponsor-led public-to-private buyout combined with a carve-out of a higher-value or distinct segment.
As part of the structure, CBIZ's benefits and insurance services segment will be spun out as a standalone company backed by New Mountain. The source article is a brief and does not provide further detail on financing structure, valuation multiples, or the post-closing governance of either entity.
The deal is categorized by PEI under Deals, North America, US, and Business services. For allocators tracking private equity take-privates in professional and business services, the transaction is a notable large-scale example of a sponsor-led public-to-private buyout combined with a carve-out of a higher-value or distinct segment.
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