Gemini Vehicle Solutions sale is Deal of the Month
THE sale of Gemini Vehicle Solutions (GVS) to plc The Innovation Group for up to £4.5m has been chosen as our Deal of the Month for April.
GVS is based in Kidderminster and employs around 45 people. It is a provider of outsourced motor claims and accident management services to the insurer, fleet, and intermediary markets with a focus on third party intervention and non-fault motor claims services.
The business handles approximately 20,000 rental and repair transaction a year. Revenue and pre-tax profit for the year ended December 31 were £12.4m and £0.8m respectively.
Innovation Group is a global provider of business process services and software solutions to the insurance, fleet, automotive and property industries. It recorded annual revenues in 2011 of £176m and employs more than 2,400 staff in the 13 largest insurance markets spanning North America, Europe, Asia, South Africa and Australia.
Its UK base is in Hampshire.
Of the total deal consideration, £1.5m will be deferred for a maximum of 12 months and is contingent on volume targets.
Following the acquisition, both Andy Hopkins and Tim Hopkins will resign as directors of GVS but Hopkins will remain with the business in a business development and client support role.
Commenting on the acquisition, Andy Roberts, CEO of The Innovation Group, said: “Gemini Vehicle Solutions is an excellent strategic acquisition for the group and for our UK Motor Claims Management business in particular.
“As one of the UK’s largest providers of outsourced accident management services, GVS’s service offering will help us to further broaden our outsource proposition in the marketplace.”
Explaining the Deal of the Month choice, TheBusinessDesk.com editor Andy Coyne said: “This deal gives more power to the elbow of a well-run local financial services group and introduces another plc to the Midlands.
“Insurance companies of this kind are thriving at the moment and the wider financial services sector is a vital, if sometimes overlooked, component of the Midlands economy.
“Deals of this sort that strengthen our offering are well worth celebrating.”
