The former pensions arm of KPMG, the big four accountant, is to be put up for sale, netting a potential bonanza for its private equity backer.

Sky News has learnt that Exponent, the buyout firm, has hired investment bankers at Evercore to sell Isio.

City sources said on Wednesday that a deal was not imminent but that an auction was likely to get underway this year.

It could see Isio changing hands for several hundred million pounds, they added.

Isio, which provides pensions and wealth advice to thousands of clients, was created when Exponent backed a buyout from KPMG in 2020.

The business was augmented by the purchase of Deloitte UK’s pensions arm just over a year ago.

Isio now employs more than 1,100 people.

Read more from business:
Elon Musk’s Tesla suffers sales slump
‘Misleading’ Nationwide ads banned
World’s wealthiest people revealed

Be the first to get Breaking News

Install the Sky News app for free

Under Exponent’s stewardship, Isio has grown into a company with annualised revenues of £155m and earnings before interest, tax, depreciation and amortisation of £39m.

The company is part-owned by management including Andrew Coles, its chief executive.

Exponent and Isio declined to comment.

Related posts:

Challenger Monument banks £28m from investors BoE’s Bailey warns EU against ‘dubious’ attempt to grab multi-trillion clearing business British Gas owner bolsters net zero goals as it posts another annual loss Rothermere family plots £810m bid to take Daily Mail publisher private Bicycle brand Ribble gets into gear for sale as industry sales surge Heathrow says it has slipped from number one to tenth place among Europe’s airports Unilever shares fall as it defends £50bn approach for GSK’s Aquafresh to Panadol consumer arm Germany to ban Russian oil imports by end of year If it looks like a duck, it’s a duck! Why Rishi Sunak’s windfall tax is facing a backlash UK house price growth holds steady – but warning of sharp fall ahead Princess of Wales’s parents’ party supplies firm sold after brush with insolvency UK gas at six-month high after Israeli field closed and Finnish pipeline ‘deliberately damaged’