US private equity firms Madison Dearborn Partners, LLC (MDP) and HPS Investment Partners, LLC (HPS) – which in May upped their stake in British intermediary The Ardonagh Group to 43% and 54%, respectively – have reportedly snapped up Arachas Corporate Brokers.
The Sunday Times said the sale price for the Ireland-based Lloyd’s broker is in excess of €250 million (around £213 million). According to the publication, the deal is expected to be confirmed shortly.
Earlier this year the Irish group acquired financial services firm Murray & Spelman, which started trading under the Arachas brand name in November.
Meanwhile sources were cited as saying that Arachas – whose offerings include business insurance, contractor’s insurance, and personal insurance – will not be merged with Ardonagh.