Apax acquires majority share in CohnReznick Consulting
Private equity firm Apax Partners has recently made a significant move by acquiring a majority stake in CohnReznick, a prominent accounting and consulting firm ranked among the top 20 in its field. This strategic acquisition is poised to provide CohnReznick with the necessary resources to invest in its talent pool and overall business operations. This move is crucial for the firm to remain competitive in the market, especially when compared to other mid-market accountancies that have also secured private equity investments recently, such as BDO, Grant Thornton, and EisnerAmper.
Apax Partners, in addition to providing financial support, will offer operational guidance to help CohnReznick implement its value creation plan. This plan includes various initiatives such as targeted acquisitions, expanding service offerings, developing technological solutions for internal and client use, exploring opportunities in new markets, and fostering talent development within the organization. As a result of this partnership, CohnReznick will undergo a restructuring where the firm will be divided into two distinct entities. The existing CEO, David Kessler, will lead CohnReznick Advisory, focusing on non-attest services, while Kelly O’Callaghan will helm CohnReznick as the licensed CPA firm responsible for providing attest services.
David Kessler, expressing optimism about the acquisition, emphasized the firm’s consistent growth and its reputable position within the mid-market segment. He attributed this success to the outstanding talent within the organization, their industry-specific expertise, and the wide range of services offered. The infusion of funds from Apax Partners is expected to bolster CohnReznick’s growth trajectory, enabling the firm to expand its solutions and geographical footprint to better cater to client demands, while simultaneously fostering the professional development of its employees.
Established in 1919, CohnReznick boasts a workforce of over 5,000 employees spread across 29 offices in the United States, with reported revenues of $1.12 billion in the fiscal year 2025. Ashish Karandikar, a partner at Apax Partners, expressed enthusiasm about the partnership, citing a strong working relationship established over the past two years and acknowledging CohnReznick’s impressive culture, vision, and track record of sustained growth. Apax Partners, with its foundation dating back to 1972 and headquarters in London, focuses on investments in technology, services, and internet/consumer sectors, having managed funds worth nearly $80 billion over the years.
In conclusion, the collaboration between Apax Partners and CohnReznick signifies a new chapter in the evolution of the consulting and private equity landscape. By joining forces, both entities are poised to achieve mutual growth and success, paving the way for enhanced service capabilities, geographic reach, and talent development within CohnReznick, ultimately benefitting clients and stakeholders alike.