Management Due Diligence specialists, The Quinn Partnership has advised Inflexion on it’s £92m buyout of Alcumus Group Ltd (Alcumus), a market-leading provider of technology-enabled compliance risk management and certification services, from Sovereign Capital.

Alcumus serves over 8,000 clients, including 35% of the FTSE 100, providing outsourced risk management services which are critical to compliance with UK regulations and internationally recognised standards. Formed through the integration of five companies, this high growth business holds a prominent share of the fragmented UK market, valued at around £500m and forecast to grow by up to 10% per annum. Favourable market conditions are driven by a continuous regulatory evolution and increasing expenditure on compliance measures to meet this. Alcumus’ recent acquisitions have strengthened its market position with the business now extremely well placed to take advantage of future consolidation opportunities.

Inflexion will work alongside Alcumus’ ambitious management team to further grow the business organically and via selected acquisitions.

Simon Turner, Managing Partner at Inflexion, commented: “We have been tracking Alcumus for a number of years and are delighted to be able to join forces with such an accomplished team. The UK compliance and certification market is growing strongly and with Alcumus’ proven track record of diversifying its suite of services to offer the most value to its clients, it is well-placed to grow market share under our ownership.”

Martin Smith, CEO of Alcumus, said: “Inflexion shares our vision for the next stage of Alcumus’ growth. Their knowledge and understanding of the market coupled with the team’s appreciation of our culture make them the right partner for the future development of our business. We look forward to expanding our offering and continuing to deliver service excellence to our clients.”

Paul Quinn, Director of The Quinn Partnership commented “Alcumus have a proven track record, with the support of Inflexion they are well-placed for further development and expansion”.

The investment was led by Mark Williams, Flor Kassai and Richard Swann. Richard and Mark will join the board post completion.

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