Resolution Partners advised the shareholders of Lumley Holdings in connection with its £12m sale to Erinaceous Group Plc. Lumley Holdings’ principal subsidiary, Lumley Letsure is a leading independent insurance intermediary with GWP of £16m. It specialises in the distribution of commercial and residential landlords’ buildings and contents insurance; tenants’ contents and rent guarantee insurance; and tenant referencing services through a network of letting agents, insurance brokers and direct.
Other notable features of the transaction were as follows:
- The sale strategy entailed a rifle shot approach;
- The purchaser took over two defined benefit pension schemes at the value of their FRS17 deficit;
- The entire consideration was paid in cash at completion; and
- The vendors’ warranties and indemnities reflected their trustee status