Ardonagh owner says purchase is ‘ideal’ as it bolsters its formidable portfolio of UK assets
Ardonagh’s private equity owners have snapped up AXA’s health insurance broker, it emerged today.
Private equity owners Madison Dearborn Partners and Highbridge Principal Strategies have bought AXA-owned Health and Protections Solutions Ltd.
AXA says the deal completes its move away from owning whole-of-market brokers, adding intermediaries are best placed to own brokers.
AXA was rocked by the Bluefin scandal and the business was sold by the time the FCA slapped a hefty fine on it.
AXA PPP boss Keith Gibbs said: ”The Health Insurance Group joined AXA in 2008 and, in the past ten years, has formed a strong part of our business.
”However, as part of AXA’s strategy in the UK, we have concluded that whole of market intermediaries who offer advised sales are best placed within businesses focussed on distribution, and this transaction will allow The Health Insurance Group to form part of a portfolio of leading broking businesses.”
Madison’s managing director Matt Raino said: ”THIG will be an ideal addition to our growing portfolio of UK insurance assets.”
The private equity duo are determined to build up their UK insurance assets, with Insurance Times revealing last month they had snapped up a Capita insurance business.
Their main asset, Ardonagh, will remain cash flow negative this year and breakeven next, predicts Fitch, although the management are on track with their strategy.
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