Hiscox has acquired a 13.45% stake in Pavilion Insurance Network.
Andrew Selby, chairman and chief executive of Pavilion said: "My decision to allow a small percentage of my family's holdings in Pavilion to be sold to form part of the Hiscox stake was taken on the basis that I believe Hiscox's investment is good for the company and its shareholders.
"As the largest shareholder I also believe that a small dilution in my holdings is no bad thing, especially as we will thereby gain a valuable and important investor in our business."
Selby added: "Hiscox is one of the UK's most respected insurance businesses and we're delighted that they have taken such a considerable stake in Pavilion. We believe their decision to invest in the company supports our own conviction in the growth potential of Pavilion's niche market operations and web based strategy which is backed up by our own unique technology infrastructure. We are already co-operating with them on a planned new product addition, and I look forward to their long term support."
David Astor, chief investment officer for Hiscox said: “We are very happy to become investors in Pavilion at a particularly exciting time in the development of their business."
