Towergate wins £200 million to acquire

British insurance intermediary Towergate Partnership, which specialises in small and medium-sized enterprises (SMEs), will ‘reignite’ an acquisition programme after private equity firm Advent International invested £200 million in the business.

The two companies have entered into an agreement, which is conditional upon raising new debt facilities through the bank and bond markets, Towergate said in a statement. The deal is to be finalised in mid-February.

Founded in 1997, Towergate provides both personal and commercial insurance to individuals and SMEs through its sister company, Cullum Capital Ventures, and a group of branded businesses.

According to the company, Towergate distributes more than 200 insurance products, and generates more than £2 billion of gross written premiums a year.  Since inception, Towergate has acquired more than170 underwriting and broking firms.
 
Peter Cullum, chairman and founder of Towergate, comments: ‘This marks an important milestone for Towergate and I am delighted to be working alongside Advent as our new private equity partner. Advent's investment provides real firepower as the group reignites its acquisition programme as part of our ambitious growth strategy.’