K3 Tax Advisory support a multi-million pound transaction in the defence software sector.
Acting as tax advisers on the deal, Holly Bedford provided tax advisory support to the incumbent Managing Director and the Founder throughout the due diligence phase, working alongside M&A lead advisers K3 Deal Advisory (Mughees Saleem and George Dalton) and legal advisers K3 Law (Poppy Ball) to ensure a thorough and well-coordinated transaction process.
The deal, a PE-backed MBO, enabled the founding shareholders to realise the value of their shareholding, with a structured exit timeline agreed alongside the incoming sector-specialist Private Equity investor. K3 Tax Advisory’s involvement ensured that the tax implications of the deal structure were carefully considered, supporting a clean and efficient transition of ownership while protecting the client’s position throughout.
The transaction reflects continued investor appetite for high-quality, specialist software businesses operating within the UK defence supply chain, where long-term contracted revenue, proprietary technology and mission-critical positioning continue to attract premium valuations.
The PE-backed structure brings capital and strategic alignment to support the next phase of growth — underpinned by the detailed financial and tax diligence that helped give all parties confidence to transact.the tax authorities regard as home is what really matters.
