Charles Taylor agrees £261m deal to go private; firm says the offer was 'compelling'
Insurance services firm Charles Taylor has agreed to a "compelling" takeover deal by private equity firm Lovell Minnick Partners, which it hopes will deliver attractive returns to its shareholders.
Jewel Bidco, a firm formed on behalf of funds advised by Lovell Minnick, has offered £261 million for the entire issued and to be issued share capital of Charles Taylor.
Charles Taylor Directors will unanimously recommend its shareholders to vote in favour of the offer, the company said in a statement. In order to become effective, the scheme must be approved by a majority of shareholders at the court meeting in November, representing at least 75 per cent.
It added that the offer is conditional on certain antitrust and regulatory clearances including the approval of the FCA and, if relevant, the PRA and Lloyd’s in the UK, and regulatory approvals in the Isle of Man, Bermuda and the State of Texas, United States of America.
“The Charles Taylor Board is confident in the quality and long term prospects of the Charles Taylor group, but believes that this offer recognises these factors and represents a good opportunity for shareholders to realise value for their investment at an attractive premium," said Edward Creasy, chairman of Charles Taylor.
"As a private company with Lovell Minnick’s backing, I believe Charles Taylor will continue to capitalise on opportunities in its markets and ensure the future success of Charles Taylor for employees, partners and clients.”
David Marock, group CEO of Charles Taylor, added: “I am confident that this acquisition by Lovell Minnick, a highly regarded investor with experience in our markets, will provide Charles Taylor with the opportunity to continue to deliver on its existing growth strategy. They understand the foundations and strengths of our group and we welcome their commitment to working with the management team to drive the business forward.”
Spencer Hoffman and Jason Barg, partners of Lovell Minnick, said: “We are delighted to invest in Charles Taylor and to support David and the management team in continuing the development of the business they have built over the past years. Charles Taylor is a high-quality business, operating in a sector Lovell Minnick has a strong track record of investing in and we believe that partnering with Lovell Minnick to pursue a shared vision to grow the platform will provide benefit to clients, employees and partners.”
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