Talks for Markerstudy to buy Co-op’s insurance business are reported to be at an advanced stage
Markerstudy is reportedly the frontrunner in a £300m deal to buy Co-op Insurance.
Sky News is reporting that Markerstudy is in the advanced stages of talks to buy the insurance business of Co-op Group, but that a “definitive decision” to proceed has yet to be reached by both boards.
A source is reported to have said any buyer would need to commit to a long-term deal to selling insurance products under the Co-op brand.
The AA, Aviva, RSA and Saga are all believed to have expressed interest in the deal.
And GSO, the credit arm of New York based private equity firm Blackstone, was reportedly among those approached to help Markerstudy finance the deal.
If the deal falls through, the Co-op could look at reinsurance trade as an alternative to a sale.
The Co-op currently underwrites its own home and motor insurance policies. Its travel insurance policies are underwritten by US based insurer, Mapfre. It also sells pet insurance plans with Allianz.
Insurance Times contacted Markerstudy and the Co-op, but both declined to comment.
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