Funds managed by global private equity firm KKR will acquire a significant minority stake in global leadership advisory firm ghSMART.
ghSMART’s founder, partners, and employees will retain majority ownership in the business and the current management team, led by CEO Jeff McLean, will continue in their current roles.
Financial terms of the transaction were not disclosed.
Goldman Sachs served as financial advisor and Kirkland & Ellis served as legal advisor to ghSMART. Dechert served as legal advisor to KKR.
This investment coincides with ghSMART’s 30-year anniversary. Founded in 1995 by Geoff Smart, the company pioneered the leadership advisory industry and serves many of the world’s most influential organisations across Fortune 500 companies, leading asset management firms and non-profits.
ghSMART has completed nearly 30,000 leadership assessments and more than 5,000 C-Suite advisory engagements to-date with a 98% client satisfaction rate.
As part of the deal, ghSMART partners with CEOs, boards, and investors to develop effective executive teams and support high-stakes leadership decisions.
KKR will support ghSMART’s growth by helping to expand the company’s client base and further develop its digital product offerings.
KKR is making its investment in ghSMART through its Ascendant Fund, which invests in middle market businesses in North America as part of KKR’s Americas Private Equity platform.
Following the close of the transaction, KKR will support ghSMART in helping further expand its employee ownership program for all of the company’s 173 employees.
Since 2011, more than 65 KKR portfolio companies have awarded billions of dollars of total equity value to over 160,000 non-senior management employees.
Write to Adam Orlando at Mining.com.au
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