Portfolio
Deep industry relationships and knowledge, enabling enhanced value creation in portfolio companies.
×
Optio
Key Information
COUNTRY
United Kingdom
SUB-SECTOR
Insurance Distribution
Insurance Services
HEADQUARTERS
London
YEAR INVESTED
2020
Business Description
- Optio is a vertically integrated and scaled insurance managing general agent (“MGA”), with a focus on high growth emerging and specialty lines of business that write more than £250m of gross written premiums
- Optio segments include Cyber, Subcontractor Default, Construction, Specialty lines, and Bay Risk
- Bay Risk is Optio’s internal binder broker, a specialized insurance broker helping source and place capacity with insurance carriers for its internal and 3rd party MGAs
- The business has c.100 FTEs, with all underwriting and top-level management based in London and c.15 FTEs focused on sales and client management located across the US
Investment Highlights
- High growth, at scale specialty MGA
- Significant organic growth potential in markets with favourable underlying drivers
- Track record in executing accretive team hires and M&A
- Diversified capacity and distribution
- High retention and renewal rates
- Market-leading proprietary tech platform
- Attractive financial profile
BMS
Key Information
COUNTRIES
17+ Countries including
UK, US, Canada, Australia,
Spain, Latin America
SUB-SECTOR
Insurance Distribution
Insurance Services
HEADQUARTERS
London
YEAR INVESTED
2019
Business Description
- Founded in 1980, BMS is one of the largest independently owned Lloyd’s specialty insurance brokers, managing more than $2bn of gross written premiums
- BMS’s broking activities comprise Insurance (55% GWP) and Reinsurance (45% GWP)
- Insurance lines include casualty, construction, energy, cyber and technology, professional and financial lines, property, terrorism and political violence, shipping and aviation finance
- Reinsurance lines include US Property & Casualty, LatAm and Caribbean reinsurance, facultative, specialty casualty and global reinsurance
- BMS is headquartered in London, has 18 offices around the world and employs c. 450 FTEs
Investment Highlights
- Scarcity of Independent Broker Platforms – BMS is one of the few remaining independent and scaled specialty insurance brokers which has significant scarcity and strategic value
- Market Dislocation Enabling Significant Growth through Team Hires – team hires highly accretive and significant opportunity created by large scale M&A of larger brokers
- Highly Profitable and Cash Generative Business Model – 110% existing customer revenue retention and c.90% client retention
- Downside Protection – given high barriers to entry and limited correlation to macro