PE backer keeps hold of Top 75 firm Fletchers through continuation vehicle

The private equity owner of Top 75 firm Fletchers has moved to extend its investment in the personal injury specialist, selling the business into a continuation vehicle in a move that keeps the law firm under private equity ownership.

Manchester-headquartered Fletchers reported £77 million in revenue in its most recent accounts. Its US private equity owner Sun Capital Partners first invested in the business in 2021.

Continuation capital

Under the deal, Sun Capital has transferred Fletchers into a new continuation fund - a structure that allows sponsors to hold on to portfolio companies beyond the typical life of a private equity fund. Existing investors can either cash out or roll their stakes into the new vehicle.

Continuation vehicles have surged in popularity in recent years as traditional exit routes, such as IPOs and trade sales, have proved more challenging. For sponsors sitting on assets they either can’t sell at the right price or aren’t ready to part with, they offer a way to retain ownership while providing liquidity to investors.

Sun Capital said Fletchers’ EBITDA had grown from £8 million at the time of its initial investment to £37.9 million as of September 2025, driven by organic growth and 10 add-on acquisitions. Those include last year’s purchase of the 80-strong serious injury arm of national firm Shoosmiths.

Fletchers CEO Peter Haden said: “Sun Capital has been a brilliant investor in our practice, and we’re delighted to be working together for another four or five years.”

He added: “It gives us certainty and continuity so we can keep investing for growth well into the 2030s - and most importantly support more people who have been seriously injured move forward with their lives.”

PE in legal services

Fletchers is one of a growing number of UK law firms backed by private equity, particularly in the high-volume consumer segment where scale and process can drive margins.

Manchester-based Express Solicitors, which posted £89 million in revenue, is the largest personal injury firm under PE ownership after Swiss investor Ufenau Capital Partners took a stake last year, signalling plans for a systematic buy-and-build strategy.

Elsewhere, Lawfront continues to consolidate regional firms with backing from Blixt, while Midlands firm Higgs secured investment from August Equity last year and recently completed its first acquisition under that ownership.