Due diligence underway, deal set to conclude within weeks
Broker Network is close to concluding a deal to buy rival network Westinsure, Insurance Times can reveal.
Towergate-owned Broker Network is understood to be in due diligence with Plymouth-based Westinsure after entering an exclusive arrangement to negotiate a sale.
Well-placed sources said the deal was likely to be concluded by the middle of this month.
The likely purchase price was not clear, but a price of between £6m and £10m has been suggested in the past.
Last month, Broker Network chief executive Grant Ellis confirmed that the company was in talks to buy Westinsure (news, 14 April). A number of other parties, including Broker Direct and Cobra have also been linked to the network, along with AXA, which is thought to have pulled out of making a bid.
The Westinsure network currently controls £234m of gross written premiums from 128 members around the UK.
Broker Network declined to comment. Westinsure managing director Denis Morgan was unvailable for comment.
In a related development, Broker Network has added two members, Beaumont Lawrence and EW Knapton, to its membership. In a statement it said it was poised sign up at least 20 more to its recently launched associates programme.