JPO was appointed as Consultant Deal Lead in 2015 by Chaucer Syndicates Limited (CSL), for the divestiture of their Lloyd’s Motor Insurance Portfolio. Bringing his experience in executing smooth-running and methodical M&A transactions, JPO supported the Executive Team in the entire planning, organisation and execution of this $60m deal.
The divestiture of the UK Motor Insurance Portfolio was designed to release capital within the business and provide a sustainable platform for growth opportunities. JPO worked across the entire divestiture in co-operation with the CEO, quick to immerse himself within the business know-how to ensure all areas of the transaction were accounted for.
Through careful negotiations, considered strategic planning and management of the entire process, the divestiture consisted of both a 450 employees strong Lloyd’s Broker generating an average of GWP of £120m per annum, as well as the run-off of a £300m Motor Insurance portfolio.
With the aim to deliver an organised and controlled run-off process, the transaction involved JPO designing and implementing the Target Operating Model of the Run-Off Syndicate, through a £20m out-sourcing agreement of 3 years. His tenacious and creative approach to delivering winning solutions also resulted in a brand-new “partial reinsurance to close” method within Lloyd's of London. Through meticulous preparation and excellent communication with Lloyd’s, JPO gained the first ever regulatory approval of its kind, incepting Lloyd’s Special Purpose Syndicate S-6124.
JPO managed the entire separation workstream, ensuring excellent structuring and organisation of all transactional administration and agreements, and co-ordinated all Programme and Deal Governance. Due to the scrupulous organisation and structuring of all essential components of the transaction, the change in controller process was one of the fastest ever approved by the Financial Conduct Authority, taking just 5 weeks.
The deal allowed CSL to reinvest the newly released capital into preferred avenues for their business, including the joint-venture with AXA to expand their Africa Speciality Risk portfolio, and the development of a new European Speciality Business insurance carrier, Chaucer Dublin.
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