Hines Associates (“Hines”) is delighted to announce that it advised the shareholders of KGJ Insurance Services Group on its sale to NFP Corp (“NFP”)
NFP Corp. has entered into an agreement to acquire UK commercial insurance broker KGJ Insurance Services Group (“KGJ”). The acquisition strengthens NFP’s market position in the Midlands and expands its specialty expertise for clients in Europe.
KGJ is a family-owned business with roots dating back to 1873. Headquartered in Wolverhampton, it has more than 55 employees and specialises in commercial insurance with expertise in combined risks for complex and non-standard programmes. KGJ provides a range of exclusive scheme facilities as well as access to restricted markets through various wholesale brokerages.
Hines was exclusive financial adviser to KGJ and advised on a sale process designed to optimise value for the shareholders, while finding a new owner with the right cultural fit to continue with the development of the business and its employees.
Hines’ role included:
- Advising the shareholders on sale strategy and tactics
- Assisting in the selection of potential investors and running a competitive process
- Overseeing the preparation of marketing materials including producing a pro forma EBITDA which included clearly identified synergy opportunities
- Negotiating surplus capital to ensure full value was extracted from the balance sheet
- Enshrining key terms in a detailed Heads of Terms and ensuring that legal documentation accurately captured the commercial terms agreed
Rich Cox, Director at KGJ commented:
“Lyndon, Darren and I selected Hines Associates as our exclusive corporate finance adviser because of their expertise in the financial services sector and track record of successfully selling independent insurance brokers. They came highly recommended from one of our business partners; and they certainly lived up to their reputation – professional; knowledgeable; well-connected; patient; and most importantly for us applied a very personal touch to the process.
They executed the transaction faultlessly and exceeded our expectations every step of the way. In what was, at times a stressful, emotional and tiring process, they provided sound counsel and a steady hand ensuring that the pressure and stress of the whole transaction was greatly reduced. We could not have done this without them for which the three of us will always be grateful.”
“We were delighted to assist KGJ in finding a partner in NFP whose culture and values align so closely with their own. It was a pleasure working with the KGJ team and we wish them the very best for the next stage of their journey.” said Jack Stewart, Partner at Hines Associates.