MGA Markerstudy to buy BGL from Comparethemarket owners in £400m deal
Managing general agent (MGA) Markerstudy has agreed to buy BGL Insurance from the owners of the Comparethemarket price comparison platform in a in £400 million deal that could effectively double Markerstudy's size to nearly six million customers.
"As a leading distributor in the market, taking ownership of BGLi provides us with a unique opportunity to further accelerate and increase our growth potential," Kevin Spencer (pictured), group CEO of Markerstudy, told Sky News. "We have enjoyed a long and fruitful partnership with BGL Group, and this has strengthened in recent years with BGLi acting as an outsource partner to a number of Markerstudy brands."
The deal is also said to include potential price adjustments even above the £500-million mark, Sky reported. Markerstudy may lean on its private equity backers at Pollen Street Capital for fresh equity to manage the deal, the report claimed.
The transaction is expected to be announced this week.
Markerstudy Insurance Services claims to be the UK's largest managing general agent, supporting over 1,000 broker partners and more than three million policyholders with a wide variety of insurance products.
In 2020 the group became the UK’s 5th largest motor insurance provider after completing the purchase of the Co-op Insurance underwriting business, Markerstudy claimed. The group portfolio also includes Brightside Insurance, Insurance Factory, Auto Windscreens, VisionTrack, Vision Vehicle Solutions; and brands Geoffrey Insurance and Zenith Insurance.
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