Towry Law Insurance Brokers has been sold to Broker Network Holdings and a consortium of the TLIB management team.
The sale of the company, which is the general insurance and healthcare arm of Towry Law JS&P Group, comes less than a month after the group was bought by JS&P Finance from Henderson Group for £37m.
TLIB has a premium income of over £50m and more than 90 employees. The senior management team, led by managing director Martin Wright is moving across with the business and taking a stake.
The business will concurrently become a Member of Broker Network and all staff will transfer with the venture.
Towry Law JS&P Group said the sale - for £12.5m - would enable it to concentrate on its core business of offering independent financial and wealth management advice to both Private and Corporate clients.
Andrew Fisher, chairman and chief executive, said: “The general insurance and healthcare business of Towry Law no longer has a natural fit with our core business of wealth management.
“We are moving towards being totally fee based which is, in my view, fundamental to giving independent, appropriate and intelligent wealth management advice to our clients. Fee based advice is however less relevant currently to the general insurance market.
Martin Wright, managing director of TLIB, said: “I am delighted that TLIB is going to be part of Broker Network Holdings. We are going to have the autonomy to develop our general insurance and healthcare business in partnership with Broker Network, whilst at the same time have a continuing relationship with Towry Law to look after and develop our mutual clients.
“We have had a consistently successful and profitable business for 40 years and this development will enable us to continue to provide high levels of service to our clients and a secure future for all our staff.”
Grant Ellis, chief executive of Broker Network Holdings said: “This is a very significant development for Broker Network and demonstrates the rapidly-growing strength of the group. TLIB is a superb business, with a great team. Membership of Broker Network brings substantial additional benefits, even to a firm of their size”.
