$1.5B Blackstone-Led Credit Merger of Accountign Firms

Key Takeaways

Sector: Business Services.

Analysis

Blackstone has arranged a $1.5 billion private credit package to facilitate the high-profile merger of accounting powerhouses Baker Tilly and Moss Adams. This union is expected to establish the sixth-largest accounting firm in the United States, with an estimated combined valuation of $7 billion.

The credit arrangement features a blend of facilities: a $925 million term loan, a $400 million delayed draw term loan, and a $130 million revolving credit line. These funds build on $1 billion in earlier private debt placements. Interest on the new financing is reportedly set at 450 basis points over benchmark rates, with provisions to adjust downward to 425 basis points based on leverage metrics.

This capital injection underpins the firms’ strategic merger, first unveiled earlier in 2025, and aligns with plans to formally unite under the Baker Tilly banner. The consolidated entity aims to bolster its market position through enhanced service offerings and broadened geographic reach within the U.S.

In parallel to Blackstone’s role, additional equity commitments have come from established investors Hellman & Friedman and Valeas Capital Partners. Both firms are renewing their financial stakes while preserving majority ownership among Baker Tilly partners — a move designed to ensure continued alignment with leadership.

The post-merger strategy is focused on strengthening competencies in key sectors like technology and real estate advisory, while selectively increasing regional coverage. Although international expansion is not a core priority, the new firm expects to serve global clients with improved efficiency. An eventual IPO remains a consideration as a long-term financing and liquidity path.