Apax fund to acquire insurance intermediary PIB

Apax Global Alpha said on Tuesday that the Apax X fund, in which it was a limited partner, has entered into a definitive agreement to acquire independent specialist insurance intermediary the PIB Group.

The FTSE 250 company said the transaction was expected to close in the first half of the year, adding that on a look-through basis, it expected to invest about €20m (£17.8m) in the firm.

It said that PIB, established in 2015, is a “highly diversified” insurance distribution consolidator focusing on specialist commercial lines and non-standard personal lines products with expertise across both direct and business-to-business distribution through its broking, underwriting and network divisions.

PIB Group income had risen from nil to around £175m on a pro-forma basis in 2020 in five years.

The company employs more than 2,000 employees in the UK, the Channel Islands, Ireland, Germany, Poland and India.

“The acquisition by Apax X will help PIB continue its impressive growth trajectory, both organically and through accelerating strategic mergers and acquisitions to continue its domestic and international expansion,” the Apax board said in its statement.

“The Apax funds have significant experience investing in the insurance sector and helping companies consolidate large, fragmented markets, including Assured Partners, Genex and Hub International, which were successfully exited in 2019, 2018 and 2013 respectively.”

At 0800 GMT, shares in Apax Global Alpha were up 1.35% at 195p.