Lloyd's managing agent, Cathedral Capital, has been acquired by Alchemy Partners for £113m.
The private equity firm has established Disciple Holdco to own Cathedral, which operates Syndicate 2010 at Lloyd's.
Commenting on the announcement, Peter Scales, chief executive of Cathedral Capital, said: “It is very much business as usual for the team. We believe that this transaction will have a positive impact on our business, clients and employees. We are proud to have built Cathedral
Capital into a leading specialist insurer and reinsurer in the London Market.”
Dominic Slade, partner of Alchemy Partners and a director of Disciple Holdco, said: “Cathedral Capital is a high quality and robust business. I have been impressed by the
professionalism of the senior management team over the time I have known them. The business has a strong underwriting culture and an excellent reputation in the London Market. We look forward to working with and supporting the full Cathedral Capital team over the coming
years."
Tim Matthews, Clyde & Co legal advisor on the deal, commented: "This deal is yet more evidence of the attractiveness of the Lloyd's market to the investment community. The investment by a private equity firm of Alchemy's size and reputation in a Lloyd's business is a substantial vote of confidence in the potential returns that are expected in the sector. This may be the first deal of its kind in the market but is unlikely to be the last."
