Accountancy firm MHA is bucking the trend of professional services opting for private equity investment as its £269m initial public offering (IPO) goes live this morning.

The UK arm of Baker Tilly International will launch on London’s junior stock market, AIM, at 8 am.

The firm had a successful year in 2024, as MHA reported that its revenue jumped by nearly 30 per cent to £180m. Over the last four years, it doubled its turnover from £90m (2020) to £180m (2024).

The firm stated it has “a medium-term aspiration to become a top 10 UK accounting and professional services business, generating over £500m annualised revenue.”

To hit this target, the firm opted for external investment.

However, its move to list in the UK differs from the strategy being followed at other parts of the global firm.

At the start of this year, private equity firm Inflexion agreed to acquire a minority stake in Baker Tilly Netherlands. The private equity house said at the time that its share would support the firm’s “growth plans in the region.”

In February 2024, Baker Tilly’s US arm announced an investment from private equity firms Hellman & Friedman and Valeas Capital Partners. The vision behind this investment was to fund its certified public accountant business.

So why did the UK arm opt for public investment? Rakesh Shaunak, managing partner and group chairman of MHA, told City AM it was a “unanimous decision” and “endorsed by the partners.”

The IPO was deemed “the most attractive, sustainable route for the long-term benefit of our people and clients.”

He explained that “for the right firm and the right investor, private equity is a valid option, but for MHA, the higher potential short-term gains from private equity were outweighed by the important distinction that the control of our strategic destiny and planning will very much remain in the hands of our Board and our partners.”

“We will pursue strategic mergers and acquisitions at our own pace,” he added.