Randall and Quilter II Holdings, a subsidiary of Randall and Quilter Investment Holdings (R&Q), has announced a deal to acquire the entire issued share capital of the Vibe Group, subject to regulatory approval.
R&Q, a provider of finality solutions for run-off portfolios and global programme capacity for MGAs and their insurers, will pay a cash consideration of £25m as part of the transaction.
The agreement will include the acquisition of Vibe Services Management (Vibe Services), Vibe Corporate Member (VCML), and Vibe Syndicate Management (VSML), all of which are incorporated in the Puerto Rico-based Syndicate Holding Corp.
In acquiring VCML, R&Q will take over the responsibility of the Vibe Syndicate 5678, which was placed into run-off in December 2019 and carried net insurance liabilities of roughly £251m as of 30 June 2020.
Ken Randall, executive chairman at R&Q, said: “We are delighted to have agreed terms to acquire the Vibe Lloyd’s Companies. R&Q takes pride in providing finality for owners and we are pleased to see clear evidence of increased demand for legacy solutions at Lloyd’s throughout 2020.”
Although R&Q will acquire the Vibe Group for £4.4m under its current net assets worth, in 2019 the firm recorded a loss for the year of £29.9m
However, Randall remains optimistic over the “pipeline of opportunities” and “further transactions” that the company has lined up.