Lloyd's managing agent Sackville is set to almost double its capacity to £65m. A spokesman confirmed that the insurer was on the verge of receiving a major cash boost from an unnamed investor.

He added that the additional capacity would allow the insurer to open a new book of non-US direct property business.

Syndicate 2121 currently specialises in non-marine property business and marine, energy and aviation reinsurance. In October 2002, Sackville placed Syndicate 2323 into run-off and transferred its business to Syndicate 2121 after failing to find adequate funding.