B.P. Marsh pleased with performance in first half

Niche venture capital provider B.P. Marsh updated the market on its trading for the six months ended 31 July on Wednesday, after the completion of its placing and open offer.

The AIM-traded firm also pointed to the addition of PSC Insurance Group as a new 19.6% investor as a highlight of the period.

A total of £17m cash was raised before costs.

The firm made a new investment in ATC Insurance Solutions during the half-year, and reported that it had a “strong” opportunity pipeline.

A total of £14.5m net cash was reported to be available.

“In July 2018, the group completed a successful placing and open offer, as a result of which a new investor, PSC Insurance Group - via its subsidiary PSC UK - became a 19.6% shareholder in the company and delivered £17m in cash before expenses to the company,” the B.P. Marsh board said in its statement.

“The completion of this transaction represents the beginning of a new phase of development for the company, having passed the £100m market capitalisation level for the first time and re-ordered the shareholder base, with Brian Marsh's holding having reduced to 44%, and with healthy cash reserves for developing the portfolio and for new opportunities.”

The board said it was “encouraged” to have a new substantial shareholder that it said understood its business, and with which there were possibilities for future joint working.

It said the firm’s investment portfolio was increasingly geographically diverse, with strong performers, adding that the pipeline continued to deliver “sound” investment opportunities.

“The management team is committed to growing the company's existing portfolio as well as continuing to invest in early stage financial services intermediary businesses with the aim of becoming the capital provider of choice for the sector and delivering value to the company's shareholders.”