£3.5m GWP Moray Firth won’t be its only acquisition in Scotland, hints chief executive.
Cullum Capital Ventures (CCV) has broken into the Scottish market with its first acquisition north of the border.
CCV, the acquisition vehicle of Towergate executive chairman Peter Cullum, has secured Moray Firth Insurance Brokers, which has gross written premium (GWP) of £3.5m.
The latest deal, the group’s 34th acquisition in two-and-a-half years, lifts its total GWP to about £240m.
Tim Johnson, chief executive of CCV, said the business wanted to expand in the region. “We have a couple of other opportunities up there [in Scotland],” he said. “We hope to spread our wings north of the border.”
All staff at the Scottish broker, which has offices in Inverness and Elgin, will be retained and existing management will remain in place.
Johnson added that CCV was carrying out due diligence on a number of other firms, totalling £70m GWP. “There are a couple of small brokers and two or three larger ones.”
He said the group was still hopeful of reaching £500m GWP by the end of 2010 and expected to add £100m each year.
“We have still got decent funding in place, which is very helpful when lots of other people are not spending,” he said. “The credit crisis has meant that those who are out of money have not been able to afford the current rate.”
He added: “[Brokers] are talking to us because they know we have the strength. For us, it is fantastic.”
CCV’s last acquisition was in September when it won an investment stake in Capital and County, the Kent-based broker. The business specialises in motor and construction with GWP approaching £12m.
CCV subsidiary Protectagroup Acquisitions gained Culver Insurance Brokers in June. This followed the March acquisition of Protectagroup, Wales’ largest independent broker, which has GWP of £33m.
Before these, it completed a deal for a portfolio of businesses from Lockton’s retail arm worth more than £40m GWP.