Allen & Allen has already received various offers, says chief executive
Specialist motor broker Allen & Allen has confirmed its intention to sell a stake in the business to private equity backers.
However, the Middlesex-based broker said it was “extremely likely” that the existing management team would maintain a majority stake, contrary to previous reports that the entire business was on the block.
Tony Allen, chief executive of Allen & Allen, said the company had received various offers.
“The idea is to partner with someone to build and develop the business in what we see as being an exciting time once everything settles down,” he said.
“We are seeking additional capital … to grow the business both organically as rates harden and to look at acquisition opportunities as they come available.”
Allen added that the broker would look to expand in other niche areas, but that it would not be entering the standard market.
It is believed a number of insurers have also expressed an interest in taking a stake in the business.
Groupama, Norwich Union and RSA have all been touted as possible buyers.
However, Allen said he was primarily talking to private equity investors.
“We are only looking for one investor,” he said. “We have had a number of interesting proposals.”