17 September 2020News

Alchemy joins Nephila as investors in White Bear Capital

Alchemy Partners’ Alchemy Special Opportunities Fund IV is making an £80 million investment into White Bear Capital, the parent company of Blenheim Syndicate 5886 of which Nephila Capital is a strategic investor.

Alchemy will take a “substantial” stake in the group alongside the staff and Nephila. White Bear will use the money to captalise Blenheim Underwriting and to develop White Bear Managers, the MGA business.

Alchemy previously teamed up with many of the White Bear team at Cathedral, the Lloyd’s managing agency.

Peter Scales, chairman of White Bear Capital, said Alchemy knows its trading model very well as a cornerstone investor. “Our intention is to remain firmly in the third party capital business,” he said. “We see this transaction as aligning our interests more closely with our ongoing and prospective new capital and capacity providers, who, we hope, will continue to grow with us as we move into an ever more positive trading environment.”

Dominic Slade, managing partner of Alchemy, said the White Bear team is in the right place at the right time to deliver profitable returns.

“Not only do industry commercial conditions feel right on the underwriting side but people and capital are on the move,” he added. “White Bear is a flexible business model which aims to match the best underwriting talent with the best capital.”

The transaction is subject to approval of both Lloyd’s and the FCA.