Bain Capital to buy consulting firm Guidehouse in $5.3 billion deal

(Reuters) -Private equity firm Bain Capital will acquire government and business consulting firm Guidehouse in a deal valued at $5.3 billion, the companies said on Monday.

Mergers and acquisitions activity rebounded in the United States in the third quarter, according to data, giving hope to dealmakers of a sustained recovery even as macroeconomic pressures persist.

Guidehouse advises government organizations such as the U.S. Department of Defense, Homeland Security as well as numerous state and local governments and businesses.

Bain Capital declined to comment on specific terms of the Guidehouse deal, when contacted by Reuters.

Guidehouse has been owned by Veritas Capital since 2018, when the PE firm acquired Big Four firm PwC’s U.S. public sector business and rebranded it as Guidehouse.

Guidehouse acquired global professional services firm Navigant in 2019, followed by buying out Macquarie Capital’s portfolio company Dovel Technologies in 2021 and Grant Thornton’s public sector advisory in 2022.

Bain Capital has been active with its M&A strategy recently. In August, it agreed to take Chinese data center operator Chindata Group private in a $3.16 billion deal.

It also agreed to acquire 90% of India’s Adani Capital and Adani Housing, buying out all of the Adani family’s private investments in the company.