Ethos Partners is pleased to announce that portfolio company Compliancy Services, one of the UK’s leading providers of financial services compliance consultancy and regtech services, has formally combined with Portman Compliance.
The combination will enable Compliancy Services to double the size of its specialist funds team. The deal will boost the company’s overall headcount to close to 60 staff, servicing over 800 clients across its specialist teams. The expansion comes following rapid growth for both firms, with average annual revenues rising 20 per cent year on year, for the last five years.
The deal will see Portman’s existing portfolio of over 150 clients, the majority of which are hedge funds and private equity organisations, continue to be serviced by the Portman team, within the Compliancy Services business. By doing so they will benefit from the company’s scale and expertise. Nancy King, founder of Portman Compliance, will head up the new specialist funds division and lead client accounts in the newly created role of Senior Managing Director.
Philip Naughton, Chief Executive Officer, Compliancy Services, commented:
“With increasingly complex regulation, businesses are seeking multi-sector, specialist partners to guide them, as they grow and develop, through all aspects of their compliance journey. I have known Nancy for many years, and we share the same values and beliefs when it comes to client services and delivery. By bringing together Compliancy Services and Portman, we will dramatically increase our specialist capabilities in the funds sector and Nancy’s proven expertise and insights will be a huge asset as we take our business to the next level.”
Nancy King, Senior Managing Director, Compliancy Services, commented:
“Joining forces with Compliancy Services is a natural next step for Portman, as we seek to offer our clients access to a wider range of capabilities and expertise. By combining resources, we can build a business that leads the industry, offering clients first class consultancy with a finger on the pulse of constantly evolving regulation.”
Scott Bannerman, Investment Director, Ethos Partners, commented:
“We are delighted to have provided further investment into Compliancy Services to effect the transaction with Portman Compliance. Philip and the management team have continued to grow the business since our initial investment and Portman Compliance’s services complement and enhance the existing business. We look forward to continuing to grow business with Philip and Nancy.”
Peter Abel, Director, Growth Capital, Santander, commented:
“It’s been a pleasure to work alongside the team of Compliancy Services and Ethos Partners in providing financing to support the transaction with Portman Compliance and the growth plans of the business. Operating in an environment of increasing regulatory and compliance requirements with a diversified and loyal customer base and high level of recurring income, this combination makes strong strategic sense complementing the existing Compliancy Services business, and we are very pleased to be supporting Philip and the wider Management team.”
Compliancy Services was advised on the transaction by HMT Corporate Finance (financial), Latitude Consulting (commercial), and Harrison Clark Rickerbys (legal). Santander were advised by Ashfords.