Insurance broker forges ahead on acquisition trail

Yorkshire-headquartered insurance broker JM Glendinning has acquired Staffordshire specialist insurance services firm Nowell & Richards for an undisclosed sum, its second acquisition announcement in just two days.

Investment from JM Glendinning has also facilitated a management buyout at Butterworth Spengler, in a move that will see the North West broker continue under joint ownership.

Established in 1976, and counting corporate leaders, entrepreneurs, high-profile people and professional sports stars among its clients, Nowell & Richards is an independent broker specialising in tailored private and commercial insurance.

Its managing director, Richard Nowell, will remain at the helm to drive the business forward.

He said: “JM Glendinning is a likeminded, independent and respected Top 75 insurance broker and we both saw an opportunity to add a new, complementary arm to their business focused on high net worth clients and associated commercial lines.”

JM Glendinning underwent an MBO led by group CEO Nick Houghton in November 2020, with private equity backing from growth investor Synova.

Its executive chairman, Tim Johnson, said: “Welcoming Richard and his team to the group represents the next step in an exciting growth journey for JM Glendinning.

“We plan to supplement our strong organic growth with a series of complementary, strategic acquisitions that will see the business grow four-fold over the next five years.

“Our aim is not to replicate the consolidators but to continue adding value to our clients through an advice-led approach, coupled with the added buying power that greater scale affords.

“It’s been a busy start to the year, which looks set to continue over the months and years ahead.”

Grant Thornton and Osborne Clarke advised JM Glendinning on the deal. IMAS and Gateley Manchester acted for Nowell & Richards.

Based in Liverpool, Butterworth Spengler is a privately owned insurance broker operating across three divisions: commercial insurance, professional risks, and specialist schemes.

Following the investment from JM Glendinning, the firm will continue to be run by its existing management team led by managing director, John Lacey. The business employs 30 staff at its offices on Merseyside and will continue to trade under the Butterworth Spengler brand.

Nick Houghton

Nick Houghton, JM Glendinning Group CEO, said: Butterworth Spengler is a well-respected broker with a similar culture and approach to us, working across the North West with clients ranging from large corporate to SMEs.

“Investing in the business will help both firms continue their growth journeys whilst enabling all of our clients to benefit from the greater buying power that being part of a larger group affords.”

Lacey added: “The investment from JM Glendinning will allow us to grow more quickly and recruit some of the best people in the market, whilst our clients will continue to deal with the people they know well.

“Being part of a larger group will also create career development opportunities for our team, which wouldn’t otherwise exist as a smaller, stand-alone business.”

The advisers on this deal were Grant Thornton and Osborne Clarke for JM Glendinning, with KPMG and Bermans acting for Butterworth Spengler.