Hg Buys AuditBoard in $3 Billion Deal

Risk management software provider AuditBoard is being acquired by private equity firm Hg in a deal reportedly valued at more than $3 billion.

“We are grateful to our customers and their teams for the trust they have placed in us, and view our partnership with Hg as further validation of our practitioner-first focus,” Scott Arnold, CEO of Cerritos, CA-based AuditBoard, said in a statement on May 23, adding that the transaction is an important milestone for the company.

“The foundation and culture that our founders created has meaningfully scaled to create an opportunity for AuditBoard to become the platform of choice for global organizations to connect and manage risk,” he said.

Accounting Today reported that AuditBoard will continue to operate as an independent wholly owned subsidiary of London-based Hg.

Hg officials said the firm will help AuditBoard accelerate further growth as the company continues to expand its cloud-based audit, compliance, and risk management platform and global reach.

“AuditBoard is exactly the type of business we partner best with—one that truly knows its customers and innovates to bring them the best possible products,” said Alan Cline, head of North America at Hg.

Founded in 2014, AuditBoard now serves more than 2,000 enterprises, including nearly 50% of the Fortune 500. The company announced earlier this year it had crossed a milestone of $200 million in annual recurring revenue during late 2023. Its last funding round took place in 2018—a Series B led by Battery Ventures.