Another sliver of Nexus Underwriting was picked up by niche venture capital and financial services company, B.P.
Marsh & Partners, on Thursday.
B.P. Marsh acquired a further 6.8% of Nexus for a total consideration of £4m, bringing its total holdings in the specialty MGA underwriters to 18.78%.
The venture capital firm purchased 219,178 A Ordinary shares of Nexus from two of its founding shareholders, Colin Thompson and Ian Whistondale, Nexus said in a release.
Thompson and Whistondale indicated there were more buyouts and selloffs to come.
“This transaction provides an opportunity to rebalance our shareholder base, which is crucial for us as we move forward. It is also indicative of the demand that exists for investment in Nexus, especially as our EBITDA for 2016 will surpass £5 million and is planned to exceed £7 million next year,” Thompson, the Chairman of Nexus, said.
“In addition, we have a number of exciting M & A opportunities which we hope to conclude on during Q1 next year. It is therefore important that we start organising our capital base appropriately to take into account where we are now heading.”
Nexus describes itself as “one of the largest independent specialty MGAs in the London Market,” operating across financial lines, trade credit & political risk, surety, bond, marine, accident & health and other niche areas.
Passing £161 million in gross written premiums (GWP) for 2016, Nexus was founded in 2008 and says it will surpass £402 million in GWP over the next 3 years.
Referring to itself as a “virtual insurance company”, Nexus says it’s different from nearly all other MGAs by being independent.
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