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LMP bets on complexities in regulatory environment; Audax details M&A plan for Resonant

Good morning dealmakers, it’s Obey Martin Manayiti with the US edition of the Wire from the New York newsroom on a deal-filled Tuesday.

In recent months, we’ve seen a slew of private equity firms bet on companies that provide services to certified public accountants (CPAs). Lovell Minnick Partners has become the latest firm to invest in this sector through the acquisition of Cohen & Company. We’re opening the newsletter with my deep dive on the deal, including insights from LMP partner Jason Barg and Cohen CEO Chris Bellamy.

Next, we have another deep dive as Audax Private Equity partner David Wong shares the firm’s M&A strategy for Resonant Clinical Solutions, a clinical trial service business it carved out from Avantor recently.

Finally, we have a few deals announced this morning touching on various sectors. First, OceanSound Partners has completed the acquisition of Antenna Research Associates, a provider of integrated radio frequency and advanced communications products to the aerospace and defense end-markets. Stay tuned to what Joe Benavides, the firm’s managing partner, has to say about this deal.

Next, BC Partners has agreed to sell a majority stake in GardaWorld in a transaction that values the company at C$13.5 billion ($9.72 billion).

Complex regulatory environment

Lovell Minnick Partners joined the fray of PE firms scooping up deals in the accounting sector through its investment in Cohen & Company.

Jason Barg, a partner at LMP, and Chris Bellamy, the chief executive of Cohen & Company, told me about the rising stakes regarding complexities of the regulatory environment, which is creating opportunities for Cohen & Company.

Upgrade to the premium version of the Wire to learn more.

Clinical trials

Audax Private Equity aims to use add-ons to build convenience, accountability and speed across the supply chain for the distribution network of Resonant Clinical Solutions, a clinical trial service business it carved out from Avantor before rebranding it.

Premium subscribers to the Wire have access to more.

Radio frequency

New York based-OceanSound Partners has completed the acquisition of Antenna Research Associates, a provider of integrated radio frequency and advanced communications products to the aerospace and defense end-markets.

Upgrade to the premium version of the Wire to learn more.

It’s an exit

BC Partners has agreed to sell a majority stake in GardaWorld in a transaction that values the company at C$13.5 billion ($9.72 billion).

Premium subscribers have access to more, including the new ownership structure.

That’s it for me today. As always, I’d love to hear from you at obey.m@pei.group.

Craig McGlashan will bring you tomorrow’s Europe Wire, while Rafael Canton will bring you the US edition.

Cheers,

Obey

Read the full Wire commentary on PE Hub ...

Also of note (may require subscriptions)

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Instead of one-off, bespoke solutions, blended finance needs to be approached with a more 'wholesale' mindset, according to Dan Firger, founder and managing partner of Great Circle Capital Advisers and a speaker at the upcoming Impact & Transition Investor Summit: North America. (New Private Markets)

They said it

“We believe growth trends in the CPA space are compelling. We are living in a world with growing regulatory complexity and the need for best-in-class advice is more pronounced than it has ever been.”

— Jason Barg, a partner at Lovell Minnick Partners following the investment in Cohen & Company.