Montague Investment Group has taken a minority stake in the partnership as part of the deal

Private equity investor Rcapital Partners has agreed to acquire a majority stake in UK General Insurance (UKG) and Precision Partnership Limited (PPL).

UKG is a personal lines MGA based in Leeds that underwrites a wide range of products – including property, leisure and lifestyle.

PPL, on the other hand, acts as the support function for several MGAs – including the likes of One Commercial, Binnacle and Provego.

As part of the deal, Montague Investment Group will take a minority stake in the partnership.

Following completion of the deal upon regulatory approval, UKG and PPL will come together under the leadership of UKG’s chief executive Tim Smyth.

Lord Marland, one of the founding directors of Jardine Lloyd Thomson (JLT) and founder of Lloyd’s insurer Jubilee, will become chair of the acquired business.

Jamie Constable, founder of Rcapital, said that bringing the firms under joint ownership would “enable the combined personal and commercial lines business to scale up significantly – [building] on a business already controlling in excess of £100m gross written premium (GWP) and employing 140 people”.

‘Injection of capital’

Montague Risk Capital founder Donald Harrell said this acquisition was the first deal for the firm since his business was set up in 2021.

“We are excited by our partnership with Rcapital and look forward to supporting Tim, Ryan and their teams to deliver on their ambitious growth plans for UKG and PPL,” he added.

Smyth, meanwhile, said: “With this acquisition and injection of capital, we can look forward to a fresh start for UKG and PPL after a period of significant change for the business.

“We now have a fantastic platform to make acquisitions, hire talent and grow – backed by this investment from progressive and future-focused owners.

“I am excited by the opportunity to model the combined group as a niche and specialist schemes player with a relentless focus on profitable, measured growth.”