Quindell strikes again with third NW deal
QUINDELL Portolio has continued its acquisitions spree in the North West with a deal to buy a small but fast-growing online claims management network.
The AIM-listed Hampshire-based company has agreed to buy Liverpool company Intelligent Claims Management for around £1.3m in an all share deal in the coming weeks.
The ICM Network is a software based virtual network of independent claims management companies who submit business to ICM’s service providers (such as solicitors, credit hire firms and medical agents), which connects everyone involved in the claims process in the same online space, saving time and money.
Intelligent Claims made profits of £300,000 on turnover of £1.2m in 2011 – up 200% on 2010.
Quindell, which has already acquired Blackpool-based AI Claims and Liverpool law firm Silverbeck Rymer this year, said the deal would provide a number of benefits and opportunities.
“It will provide a platform for Quindell to engage directly with a wide range of independent claims management companies extending its reach more broadly into the insurance supply chain, driving though service synergies, changing the way in which the industry operates, lowering the cost of claims and improving service for clients.
“With the banning of referral fees from April 2013, the integration of the ICM platform and network within the Quindell operation will offer independent claims management companies an alternative business structure through which to continue to transact business in a more controlled and regulated ethical environment, stamping down the cost of claims.”
The shares being issued will be subject to lock-in of between 12 and 36 months from the date of issue. In the event that ICM misses its financial targets Quindell ill receive compensation from the vendors.
Rob Terry, chairman and chief executive of Quindell said: “As a result of working with ICM over the past months, a number of joint client contracts have been achieved validating our shared vision for the use of technology to facilitate change within the insurance industry to stamp down the cost of claims.”
Karl O’Hare, chief executive of Intelligent Claims Management added: “Quindell offers us a fantastic opportunity to play our part in the changes to the insurance industry that will come into effect from April next year.
“We see great benefit to combining our technology enabled, cloud based network of claims providers with Quindell’s business model, collectively helping to drive down costs for the insurance industry and ensuring the survival of professional claims management organisations post the referral fee ban.”
