by B.P. Marsh | May 5, 2017 | Uncategorised
B.P. Marsh exits from Hyperion after over twenty years of investment
20th February 2017
“We have been pleased to work alongside Hyperion over the last two decades, helping them build the company to the successful position it stands in today. The B.P. Marsh investment model continues to create demonstrable long term value to shareholders, and we are confident the strategy will continue to find, develop and realize more opportunities going forward.”
Brian Marsh OBE
Chairman of B.P Marsh & Partners Plc
Instrumental in co-founding and funding Hyperion in 1994, with an initial equity investment of £25,000 and a further equity investment of £4.3m over the period of investment;- Sold 80% of holding in Hyperion to General Atlantic for a cash consideration of £29.2m in July 2013, with remaining holding subject to a Call Option;
- In July 2016, General Atlantic exercised the Option with B.P. Marsh selling its final holding in Hyperion for a cash consideration of £7.3m;
- Internal Rate of Return of 25.56% since 1994;
- B.P. Marsh oversaw Hyperion’s growth through a longstanding partnership and provision of working capital finance;
- Spearheaded the process which lead to the private equity firm 3i joining as a fellow investor in 2008;
- Since inception Hyperion had grown from 5 staff to over 3,000, producing revenue of £299m in its year ending 30 September 2015;
The investment and disposal of Hyperion is an example of B.P. Marsh’s successful strategy and business model, and demonstrates how the Company proactively helps investments mature for the benefit of both the underlying Company and the B.P.Marsh shareholders.
by B.P. Marsh | Nov 23, 2016 | Uncategorised
B.P. Marsh and Partners Plc (AIM:BPM), the specialist private equity investor in early stage financial services businesses is pleased to announce that it has subscribed for a 25% cumulative preferred ordinary shareholding in The Fiducia MGA Company Limited (“Fiducia”), a recently established UK Marine Cargo Underwriting Agency, for a total consideration of £75,000.
In addition to the equity investment, B.P. Marsh has agreed to provide Fiducia with total loan funding of up to £1,725,000; £350,000 will be drawn down at completion, and further provision of funds will be subject to Fiducia meeting certain conditions as outlined in the agreed business plan. In line with the Company’s established investment criteria, it will be entitled to appoint a nominee director to the Board of Fiducia and will also have the benefit of its usual minority shareholder protections.
Established by its CEO Gerry Sheehy, Fiducia is a registered Lloyd’s Coverholder which specialises in the provision of insurance solutions across a number of Marine risks including, Cargo, Transit Liability, Engineering and Terrorism Insurance.
Gerry Sheehy has over 30 years’ experience in the insurance industry. Prior to establishing Fiducia, Gerry was a founding shareholder and Executive Director of Northern Marine Underwriters (“NMU”) and played a pivotal role in building that business up significantly before his departure in September 2015.
Patricia Dickinson will join Fiducia as Chief Operations Director, having also spent over 30 years at NMU, latterly as Company Secretary.
Commenting on the receipt of this investment Gerry Sheehy, Fiducia’s CEO, stated
“Fiducia and its team of experienced individuals are looking forward to working with B.P. Marsh and our supporting Lloyd’s Syndicates, to create scale and distribute its products through a select panel of insurance brokers around the UK and Ireland. The plan is to develop Fiducia’s position to one of becoming a major Underwriting Agency with an emphasis on increased brand awareness and its products.”
Dan Topping, Chief Investment Officer of the Company, will be appointed to the Board of Fiducia as the Company’s nominee director. Commenting on this investment he stated
“We believe that Fiducia is capable of growing into a market leader and we look forward to working with Management to achieve their plans.
This acquisition demonstrates B.P. Marsh’s ability to find niche investment opportunities in financial services businesses with strong and capable management teams. This investment, alongside others recently made by B.P. Marsh, supports our on-going aspiration to invest in the Managing General Agency space, both in the UK and internationally.
Specifically, B.P. Marsh is looking to grow its presence in North America. We are of the view that the recent trend of consolidation in the North American insurance market, as well as the surplus of general underwriting capacity, provides Managing General Agencies, working in niche business lines with a distinctive capacity offering, with substantial growth opportunities.”
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