Hg Capital, one of London’s largest private equity companies, has sold TeamSystem to Hellman & Friedman in a deal reported to be worth £860m.

For TeamSystem, which makes accounting software for small businesses, this will be the third private equity company to buy ownership in as little as five years, with Hg buying the company from Bain in 2010.

This is the latest deal between two buyout firms, a growing trend in the private equity market which is increasingly being referred to as ‘pass-the-parcel’ deals.

While ‘pass-the-parcel’ deals reflect a private equity firm’s interest in the continued growth of a company, some investors are growing frustrated that new companies are not being sought to invest money.

According to a Sky News report, the deal is set to be announced by Tuesday at the latest.