IMAS acted as the sole financial adviser to MS Amlin Corporate Services (“MS Amlin”) on the sale of its specialist broking business AUA Insolvency Risk Services (“IRS”) to Specialist Risk Group (SRG).
IRS is a specialist broking business that serves accounting firms and insolvency practitioners by providing insurance support for companies in administration in the UK and Ireland. The business had operated as a division of international insurer MS Amlin for several years (having previously been part of broker Lockton), with MS Amlin providing underwriting capacity for the business. It is a market leader in the Insolvency sector where it offers clients comprehensive solutions, including Open Cover (of which IRS was one of the pioneers of the concept), Bonding and Property Portfolio Cover.
SRG is a fast-growing specialist insurance broking group and the owner of Miles Smith, The Underwriting Exchange, Square Mile Broking and David Codling & Associates. The business is an Insurance Times Top 50 broker, arranging more than £350 million of GWP in 2019. SRG is backed by Pollen Street Capital.
IMAS was retained by MS Amlin in late 2018 to advise the group on its strategic options for IRS, including a potential sale of the business. Once a decision had been taken to seek a new owner for IRS, IMAS managed a sale process to identify a buyer that could ensure continuity for the business and team whilst delivering value for MS Amlin. In September 2019, MS Amlin made a strategy announcement wherein it publicly identified nine business areas that were no longer deemed core, of which IRS was one.
IMAS managed a process which explored the interest of a selection of possible acquirers, to find the most compelling fit and commitment to conclude what was a relatively complicated transaction. This was due to the extent to which IRS was entwined within the wider MS Amlin group and the need to plan for the separation of the business and a continuing underwriting relationship with MS Amlin as a third-party insurer. The completion of the transaction is subject to regulatory approval.