Barclays Private Equity makes £71m exit
A Birmingham-based director at Barclays Private Equity has led on the sale of FirstAssist Insurance Services for £71m.
Catherine Wall led the private equity firm's exit from the insurance company, which it bought in 2003. The Surrey-based company was bought by New York Stock Exchange-listed health services company Cigna.
FirstAssist Insurance Services is a white labelled insurance provider, employing 480 workers at its headquarters in Sutton, Surrey and offices in Plymouth and Bournemouth.
It was acquired by Barclays Private Equity and its management team in 2003 as part of the larger £147m management buyout of FirstAssist Group from Royal & Sun Alliance.
Once the deal has completed, Barclays Private Equity said it would retain ownership of the after-the-event legal expenses provider FirstAssist Legal Expenses Insurance which was demerged from the group in February 2011.
In its financial year to 31 December 2010, the holding company for FirstAssist Insurance Services reported operating profit of £5.8m on net earned premiums of £153m.
Wall, who is based in Barclays Private Equity's Birmingham office, said: "The sale of FirstAssist Insurance Services represents the near total disposal of our original 2003 investment, and we are pleased with the results of our investment strategy to split the business into more specialist separate companies, and to find different buyers for each of them."
Barclays Private Equity was advised by Clifford Chance; Hawkpoint; PwC and KPMG. Cigna was advised by Hogan Lovells. FirstAssist Insurance was advised by Grant Thornton and Travers Smith.
