Investment to help pay down consolidator's debt
Towergate is in talks to secure private equity investment to pay down debt and pave the way for a refinancing, Insurance Times understands.
The consolidator has held exclusive talks and is likely to conclude the deal in January, subject to regulatory approval.
Details of the invesment, including the identity of the private equity backers have not been revealed, although a number of firms including Bridgepoint and Gresham are understood to be keen on making investment in the broking sector.
Last week, Towergate chief executive Andy Homer told Insurance Times that Towergate would return to the corporate bond market to complete a refinancing in the first quarter of next year.
Executive chairman Peter Cullum plans to float the business in 2013.