The broker behind Musicguard, Photoguard, Cycleguard and Journeyguard is set to list on AIM next month.
Pavilion Insurance Network has raised about £1.1m via a placing.
Insinger de Beaufort is acting as the nominated adviser to the company and Insinger Townsley as the broker.
Pavilion said it was looking to develop further specialist solutions towards the end of 2004.
The funds raised will be used to develop and expand existing products as well as invest in new products. The monies raised will also enable Pavilion to look at potential acquisition opportunities, with the objective of increasing shareholder value.
Andrew Selby, chairman and managing director, commented: “We have steadily built the business over the past seven years. We are maintaining a consistent growth pattern. Turnover has increased by approximately 26% for the first quarter of the current year over that achieved for the same quarter last year.
"We see the move to AIM as the springboard to enable us to fully develop our offer, by expanding our existing products and the launch of several new initiatives later this year in addition to making acquisitions.
"Our positioning in the marketplace enables us to corner the specialist areas where the larger players don't focus and in turn capitalise on what are ‘niche' markets. We intend to generate maximum volumes with small premiums low risk business, whilst maintaining a high level of retention.”
