Investment in EC3 Brokers Ltd

by B.P. Marsh | Dec 18, 2017 | Portfolio News

The Board of B.P. Marsh & Partners Plc, the venture capital provider to early stage financial services businesses, is pleased to announce an investment into EC3 Brokers Limited (“EC3”) through a newly established company, EC3 Brokers Group Limited. This transaction has resulted in the Company taking an effective 20% equity stake in EC3 for a total cash consideration of £5m, in a mixture of Preferred and Ordinary shares.

EC3 is an independent specialist Lloyd’s broker and reinsurance broker which provides services to a wide array of clients across a number of sectors, including construction, casualty, entertainment and cyber & technology. EC3 has a focus in the US, UK and Middle Eastern markets.

EC3 was founded by its current Chief Executive Officer Danny Driscoll, who led a management buyout to acquire EC3’s then book of business from AJ Gallagher in 2014. Since this Management Buy Out, EC3 has grown rapidly and for the year ended 31^st December 2016, EC3 reported revenue of £8.1m and EBITDA of £2.8m.  Mr. Driscoll has over 26 years’ experience in the insurance market having held positions at Integro Insurance Brokers, Gallagher Re and Aon Benfield.

Commenting on the investment Brian Marsh, B.P. Marsh Chairman stated, “We are pleased to be taking this stake in EC3, a company with an accomplished and experienced management team. We look forward to working with them to develop their business.”

Dan Topping, B.P. Marsh Chief Investment Officer, who has been appointed to the Board of EC3 commented, “This is a classic type of investment for B.P. Marsh, investing in an experienced Management Team with a strong plan for growth. B.P. Marsh are also pleased to be investing in another Lloyd’s broker, to which we can bring our corporate experience and knowledge. I am looking forward to working with Danny Driscoll and his team to see EC3 achieve its goals.”

Commenting on the investment, Mr. Driscoll stated, “EC3 is an established Lloyd’s broker with a solid client base and a trusted market position. I am looking forward to entering into this new partnership with B.P. Marsh and working with them to achieve EC3’s ambitions going forward.”

Investee Company Update – LEBC Group Limited

by B.P. Marsh | Dec 15, 2017 | Portfolio News

B.P. Marsh & Partners Plc, the niche venture capital provider to early stage financial services businesses, announces that LEBC Holdings Limited (“LEBC”), the leading national Independent Financial Adviser (“IFA”) in which B.P. Marsh has a 60.87% stake, has acquired 100% of the share capital of Aspira Corporate Solutions Ltd (“Aspira”), subject to FCA change of control. 

The transaction valued at £5 million in cash and shares was financed by provision of a £1.5m loan from the Company to LEBC and from LEBC’s existing cash reserves.

Aspira is a Bristol-based IFA founded in 2003. The business employs 50 staff, with over 11,000 clients and nearly £0.5bn in funds under management.

The acquisition substantially strengthens LEBC’s presence in the South West and adds additional advisory capacity that should significantly increase turnover throughout the business.

Derek Miles, Aspira’s CEO, will join LEBC as part of the Senior Management team following the acquisition and become a shareholder in LEBC. Following the transaction Aspira will be fully integrated within LEBC.

Jack McVitie, LEBC’s Chief Executive, commented; “Aspira is a business that we have known and admired for many years. I look forward to a successful integration and I am delighted to have the opportunity to work with Derek Miles as a colleague and fellow shareholder.

It is pleasing to be able to enter into this transaction off a fine year to end of September 2017 where we again set records on turnover, profit, margin and cash collection.”

Camilla Kenyon, the Company’s representative on the LEBC Board, said; “This is a significant acquisition that will strengthen LEBC through additional experienced personnel and geographic coverage. Aspira is a very good strategic fit, is in strong financial health and conducts its client relationships with the same integrity and commitment that LEBC demands.”