What's Happening?
B.P. Marsh & Partners Plc, a specialist private equity investor, has announced a minority investment in Oneglobal, a London-based retail and wholesale insurance broker. This investment is structured through the subscription of cumulative convertible preferred shares, amounting to £10 million, with the potential for further investment. The shares will provide an 8% annual preferred dividend and minority shareholder rights, equating to a 10% stake upon conversion. This capital injection is intended to support Oneglobal's strategic growth, including the acquisition of a Bermudian specialty insurance broker and expansion into the Asian market. Oneglobal, formed in 2018 through a merger of J.C. Flowers-owned Lloyd’s brokers, operates across 15 offices globally and specializes in various insurance lines.
Why It's Important?
This investment by B.P. Marsh is significant as it provides Oneglobal with the necessary capital to expand its operations and enhance its market presence. The move aligns with B.P. Marsh's long-term investment strategy and highlights the firm's confidence in Oneglobal's growth potential. For Oneglobal, this partnership offers an opportunity to strengthen its specialty offerings and expand its footprint in key markets, potentially increasing its brokerage revenue, which is forecasted to reach £50 million in 2025. The collaboration with J.C. Flowers & Co. and the expertise of B.P. Marsh could position Oneglobal as a leading player in the global insurance brokerage industry.
What's Next?
With the new investment, Oneglobal is poised to pursue its acquisition pipeline, starting with a Bermudian specialty insurance broker. The company also plans to expand further into the Asian market, leveraging the strategic growth capital provided by B.P. Marsh. The involvement of B.P. Marsh's Chief Investment Officer, Dan Topping, on the Oneglobal Board, suggests a close collaboration to drive the company's strategic goals. Stakeholders, including J.C. Flowers & Co., are optimistic about the partnership's potential to enhance Oneglobal's market position and deliver sustainable growth.
