London―Kaye Scholer client, Hastings Insurance Group (Hastings), one of Europe's fastest growing insurance businesses, has entered into definitive agreements, following which Goldman Sachs Merchant Banking Division (GS MBD) will acquire 50 percent of the voting share capital of the Group. The transaction, which remains subject to regulatory approval and will be financed through a mixture of equity and new debt financing, implies a net enterprise value of approximately £700 million.
Hastings has grown rapidly since it underwent a management buyout in 2009. For the twelve months ended 30th June 2013, Hastings generated gross premium placed of £444.1m and adjusted EBITDA of £83.3m. As at 30th June 2013, Hastings had 1.3m customers, an increase of 17 percent on the previous 12 months, with a stated ambition to protect 1 in 10 by 2020.
The team that led the management buyout will retain a 50 percent stake in the business, whilst existing management, led by Gary Hoffman, will also remain invested in the Group, demonstrating strong confidence in the continued future success of the business. Hastings' current shareholder base comprises both management and a significant number of its employees.
"We are incredibly proud of our achievements to date and the decision by GS MBD to invest in the business. I believe that GS MBD is the best partner for us to realize our goals within the business and in the future. As part of the buyout team, I am personally committed to the partnership going forward and the continued success of the Group," said Neil Utley, Hastings Chairman
He added: "The Kaye Scholer team were utterly focused on delivering this complex transaction in the tight timescale. They have done a superb job and we commend them for their determination, hard work and commercial judgment in helping us reach this point".
The Kaye Scholer team advising Hastings was led by London Office Managing Partner Andrew Harris, along with fellow private equity and corporate partners Sean Scanlon, Stuart Fleet and David Gerber, antitrust partner Sebastian Jungermann, and assisted by Amy Utley and Sherry Scrivens.
Kaye Scholer’s Corporate Department combines a full-service transactional practice with proactive, strategic business counseling. Both public and private US, European, Canadian and other international clients turn to us for focused senior-level attention on their most important matters, particularly when it comes to private equity, complex M&A and life sciences transactions. Top-ranked by US News & World Report for its premier Private Equity Practice, the group regularly works with more than 40 US and international private equity firms and their portfolio companies. Editors of the 2013 IFLR 1000 recently declared, “More specialized and sophisticated than many, Kaye Scholer’s Corporate team has developed a sweet spot in the engineering of middle market M&A and private equity deals, with a preference for complexity rather than size.”
About Kaye Scholer LLP
Founded in New York in 1917, Kaye Scholer combines the continuity and business acumen of a century-old law firm with a forward-looking, tech savvy, results-driven approach focused around lasting client relationships. With industry strengths in life sciences, financial services, technology, real estate and energy & infrastructure, Kaye Scholer offers strategic guidance and legal services to public and private entities facing litigation, transactional or governance challenges. Kaye Scholer’s lawyers regularly advise on matters across multiple legal jurisdictions, including in the US, Canada, UK, EU, China and Japan.
# # #
PR & Communications Manager Kaye Scholer
Also of Interest
- SEC Issues Pay Ratio CDIs October 20, 2016 • Client Alerts
- IFLR1000 Recognizes Kaye Scholer’s Global Presence, Practices and Lawyers October 19, 2016 • Recognitions
- Kaye Scholer Clients Achieve Nearly Full Recovery in Arch Coal Chapter 11 Proceeding October 14, 2016 • Client Successes
- Consumer Products in the Age of Big Data October 4, 2016 • Articles
- Bloomberg Business: Moriarty Returns for “Taking Stock” ETFs & Bitcoin Podcast September 22, 2016 • Media Mentions
- O’Keefe Featured in the Daily Journal on the 2016 Proxy Season September 15, 2016 • Media Mentions
- Pro Bono Team Advances CodeEd’s Comp Sci Efforts for Coeds September 14, 2016 • Client Successes
- SEC Proposes Exhibit Hyperlink Requirements September 8, 2016 • Client Alerts
- Consumer Products: Adapting to Innovation Fall 2016 • Reports / Newsletters