Investment group led by Milestone Partners to acquire Cypress Group

Cypress Group, the holding company for Cypress Property and Casualty Insurance Company (CPCIC) and Access Home Insurance Company, has agreed to sell a majority stake in the business to an investment group led by Milestone Partners.

Along with Cypress, Milestone has acquired controlling stakes in ancillary companies that were previously owned and controlled by the owners of Cypress. Approval for the change of control must be obtained from the domestic regulator of each insurance company. Stonybrook Capital advised on the deal.

CPCIC operates in Florida and Texas, while Access provides insurance within the states of Louisiana and South Carolina. In 2014, the company was purchased by a group of investors led by seasoned reinsurance executives Joe King, Enda McDonnell and Adrian Ryan.

Founded in 1995 and located in Radnor, PA, Milestone Partners is a lower middle market private equity firm focused on financial services and technology driven businesses. Milestone’s financial services experience includes investments in eCommission Financial Services, Mariner Finance, PayLink Payment Plans, Southern Management, and USAuto Sales.

“We could not be more pleased than we are with a partner like Milestone supporting our strategic initiatives. Stonybrook is a key business partner to us and were also successful in helping us raise debt capital earlier this year. They were instrumental in advising on and structuring this arrangement,” said Joe King, Co-CEO of Cypress.

Joseph Scheerer, Principal and CEO of Stonybrook, added: “Joe, Enda, and Adrian have created a premier team and operation that we are pleased to have assisted. We look forward to continuing to serve Cypress and their future endeavors. This transaction further affirms Stonybrook’s role as the leader in the property catastrophe advisory space.”