R&Q sees growth in program management, sells MGA
R&Q secures $100m investment to capitalise on opportunities in the market
William Spiegel, CEO, R&Q
Bermuda-based insurer R&Q Insurance has completed the sale of its 40% minority holding in TPM Holdings USA, a New York-based Managing General Agent (MGA).
The stake has been acquired by Roosevelt Road Capital Partners, the controlling 60% shareholder of Tradesman, which is majority owned by Daniel Hickey, the CEO of Tradesman.
The total consideration is $47 million, subject to post-closing adjustments based on the 2022 audited financials of Tradesman.
The firm said it would use the proceeds from the transaction for general corporate purposes and to pay down debt.
R&Q suggests that it will have almost quadruples its initial investment of $25 million from the acquisition of Sandell Re in 2019, which was subsequently converted into a 40% stake in Tradesman, including $46 million of dividends received to date.
R&Q Insurance, TPM Holdings USA, Roosevelt Road Capital Partners, MGA, Aquisition, Insurance, Reinsurance, Bermuda, North America