UNITED STATES OF AMERICA —Alternative asset management firm H.I.G. Capital has agreed to acquire a strategic stake in US-based accounting and wealth advisory practice HBK, marking the firm's first institutional equity partnership since its founding in 1949. Scheduled to finalize in the fourth quarter of 2026 pending customary regulatory clearances, the investment will support operational expansion, digital transformation, and workforce growth across HBK’s advisory, tax and wealth management divisions.
Headquartered in Miami, H.I.G. Capital oversees $75 billion in capital under management, specializing in equity and debt investments across middle-market businesses. HBK operates 27 offices across seven US states and India, delivering integrated tax, audit, technology advisory and wealth management solutions to family-owned enterprises and high-net-worth individuals. Its wealth advisory arm manages client assets as a major registered investment advisor, while its CPA division ranks among the top 50 accounting firms nationwide.
To accommodate institutional equity while adhering to regulatory mandates governing CPA ownership, HBK will transition to an alternative practice structure prior to transaction close. Under this framework, audit and attest services will remain independently controlled by licensed CPA partners through Hill, Barth & King LLC. Non-attest lines, including tax, corporate consulting, and technology services, will operate under HBK Advisory Group, LLC, while wealth management will continue under HBK Sorce Advisory LLC.
The recapitalization underscores an escalating trend of private equity funds targeting middle-market accounting practices. Investors are drawn to the recurring revenue models, strong client retention, and fragmented nature of the professional services sector. Access to institutional capital allows regional firms to fund costly technology upgrades, scale advisory services, and execute add-on acquisitions in an increasingly competitive market for financial talent.
The partnership provides HBK with financial capacity to accelerate market expansion while retaining its existing executive leadership and operational framework. Existing management will continue overseeing daily operations, preserving client continuity across accounting and wealth divisions as the platform scales nationally.
