Lancashire insurance business acquired for undisclosed amount
Acquisition vehicle Global Risk Partners Ltd (GRP) has acquired Thomas Sagar Insurances for an undisclosed amount.
Sagar is a chartered insurance broker based in Burnley that offers insurance for the corporate, business and private sectors.
Founded 60 years ago, Sagar employs 24 people and wrote over £9m GWP last year.
Mike Bruce, GRP’s chief executive of broking, said: “This is a quality business with an excellent track record in Lancashire, and strong ties to the community where it operates.
“We have been highly impressed with their focus on client servicing and look forward to assisting directors John and Susan Meadows and their team take Sagar to the next stage in its journey.”
Husband and wife team John and Susan Meadows have been the driving force behind Sagar for many years and will continue to run Sagar under GRP’s ownership.
John Meadows said: “GRP offered us a compelling opportunity to create value from our successful stewardship of the business, and, looking ahead, to help us become a stronger proposition under new ownership.”
“Our clients will benefit from new products and services available to us via the GRP portfolio of successful MGAs and brokers, and their relationships with blue chip insurers will enable us to further improve our competitiveness.”
“We are looking forward to being part of one of most entrepreneurial and exciting businesses in UK broking.”
Mike added: “Sagar sits neatly between Marshall Wooldridge in Yorkshire and County Group in Cheshire/Manchester and, alongside our recent acquisition of Preston-based CCIB, delivers a considerable boost to the Northern footprint of GRP’s Broking Division.”
He said: “We will continue our strategy of acquiring first class regional brokerages to join our high quality portfolio of growth businesses that deliver value for customers, staff, insurer partners and investors.”
Christian Mayo, Stewart Cape and Edward Crocker of KPMG’s Northern Corporate Finance team advised the shareholders of Sagar Insurances on the sale of the business to GRP, with tax advice provided by KPMG’s Nathan Potton. Paul Johnson of Mills and Reeve’s Corporate team provided legal advice to the shareholders.
Christian Mayo, corporate finance partner at KPMG, said: “The broker market is experiencing a wave of consolidation and there is significant appetite for quality regional brokerages, such as Sagar, which has established an excellent reputation in its local market.”
Global Risk Partners Limited is a vehicle aimed at acquiring brokers and managing general agents trading in the UK retail and global, specialty insurance markets.
It was established in 2013 by Peter Cullum, chairman and David Margrett, chief executive, and is backed by private equity firm Penta Capital LLP.
GRP acquires businesses, teams and portfolios that have niche, non-commoditised, specialty propositions and strong profitability. The company has acquired 28 businesses to date and handles in excess of £650m GWP.
