UK broker PIB Group acquired by PE firm Apax Partners
UK-based insurance intermediary PIB Group has been acquired by global private equity advisory firm Apax Partners. The company's chief executive believes the acquisition is a "significant milestone" that will help drive its growth plans both in the UK and internationally.
Apax Funds will acquire PIB from The Carlyle Group, its existing investor since 2015, which will re-invest in the company for a minority stake.
PIB’s executive management team, led by chief executive officer Brendan McManus and chief financial officer Ryan Brown, will continue to lead the business following the acquisition.
Launched in 2015, PIB has grown both organically and through acquisitions under the ownership of Carlyle Group, with its net income rising to approximately £175 million on a pro-forma basis in 2020. The company employs over 2,000 in the UK, Channel Islands, Ireland, Germany, Poland and India. PIB recently acquired Barbon Insurance Group and also further strengthened its European presence through the acquisitions of WDB in Poland and Marx Re-Insurance in Germany.
The intermediary focuses on specialist commercial lines and non-standard personal lines products with expertise across both direct and B2B distribution through its broking, underwriting and network divisions.
PIB expects the acquisition by the Apax Funds to help push its growth trajectory, both organically and through accelerating strategic M&A to continue its domestic and international expansion.
McManus described the deal as a "significant milestone" in PIB's history. "With further investment and the significant experience that Apax will offer, we look forward to continuing our ambitious growth plans both in the UK and internationally while putting our customers and colleagues at the forefront of everything that we do. We look forward to our continued success with both Apax and Carlyle as partners,” he said.
John Redett, managing director at The Carlyle Group, said: “Five years ago we backed Brendan and his management team to become a major consolidator of insurance distribution businesses. We are thrilled in what we have achieved together. Through a significant M&A programme and investment in the company’s systems and talent, the business has delivered remarkable growth. We believe there continues to be opportunities for PIB to grow and are delighted to remain involved and continue the journey.”
Ashish Karandikar, partner at Apax Partners, commented: “We see a strong investment case for the specialist commercial insurance broking market and PIB stood out as a leading player in this space. The company has grown at an impressive rate, has an excellent track record of accretive M&A deals, including international acquisitions into fragmented markets and holds a leading position as one of the largest independent corporate brokers in the UK.
"We look forward to working with the team, and all PIB’s customers and clients as we continue to build on the company’s great success to date, using Apax’s significant experience in the sector to drive transformation and growth.”
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