Latest news with #Esure
Yahoo
13-05-2025
- Automotive
- Yahoo
Belgian insurer Ageas acquires UK's Esure from Bain Capital for €1.5bn
Belgium's Ageas has agreed to buy UK insurer Esure from private equity firm Bain Capital for around £1.3 billion (€1.5bn). Insurer Ageas said the deal would allow it to save at least £100 million (€115.8mn) per year before tax, according to a statement released on Monday. The firm added that the deal will expand its reach, helping to grow its market revenue to £3.3bn (€3.8bn) by 2028. The transaction is predicted to close in the second half of this year, subject to regulatory approval. 'This transaction will allow us to offer competitive value propositions to a wider customer profile via a multi-channel distribution model, positioning Ageas UK as one of the top three personal lines insurers,' CEO of Ageas Group, Hans De Cuyper, said on Monday. CEO of Esure Group, David McMillan, said in the same statement: 'Combining Ageas's scale, financial strength and excellent broker relationships with esure's strong retail brands, market-leading data capabilities and strength on PCWs, alongside a shared technology platform, will enhance our combined ability to invest in our customer proposition and open up new opportunities for growth.' Esure, which also operates under the brand names Sheilas' Wheels and First Alternative, was founded in 2000 and has been owned by Bain Capital since 2018. The group paid £1.2bn (€1.4bn) to end public ownership of the firm in 2018. Related UK insurers Aviva and Direct Line agree on sweetened takeover bid Aviva buys Direct Line, gaining share of the UK motor insurance market The deal also comes after Ageas attempted to expand its UK footprint by bidding for Direct Line. The British car insurer rejected two takeover bids from Ageas, the second of which valued the firm at £3.2bn (€3.7bn), branding the offer as 'unattractive' for shareholders. Direct Line is now being acquired by the UK's largest insurer Aviva for £3.7bn (€4.3bn), a takeover Direct Line approved after rejecting the firm's first offer. The acquisition means the combined group dominates more than 20% of the motor insurance market and 15% of the home sector. Esure said it had seen 'excellent progress' in its financial report for 2024, making a turnover of £1.1bn (€1.3bn), compared to £973mn in 2023. The company made a trading profit of around £126.8mn (€146.7mn) last year, up from a loss of £16.7mn in 2023. The deal between Esure and Ageas comes after the UK government launched an investigation into the high cost of car insurance last year, although prices have been falling in recent months.
Euronews
14-04-2025
- Automotive
- Euronews
Belgian insurer Ageas acquires UK's Esure from Bain Capital for €1.5bn
ADVERTISEMENT Belgium's Ageas has agreed to buy UK insurer Esure from private equity firm Bain Capital for around £1.3 billion (€1.5bn). Insurer Ageas said the deal would allow it to save at least £100 million (€115.8mn) per year before tax, according to a statement released on Monday. The firm added that the deal will expand its reach, helping to grow its market revenue to £3.3bn (€3.8bn) by 2028. The transaction is predicted to close in the second half of this year, subject to regulatory approval. 'This transaction will allow us to offer competitive value propositions to a wider customer profile via a multi-channel distribution model, positioning Ageas UK as one of the top three personal lines insurers,' CEO of Ageas Group, Hans De Cuyper, said on Monday. CEO of Esure Group, David McMillan, said in the same statement: 'Combining Ageas's scale, financial strength and excellent broker relationships with esure's strong retail brands, market-leading data capabilities and strength on PCWs, alongside a shared technology platform, will enhance our combined ability to invest in our customer proposition and open up new opportunities for growth.' Esure, which also operates under the brand names Sheilas' Wheels and First Alternative, was founded in 2000 and has been owned by Bain Capital since 2018. The group paid £1.2bn (€1.4bn) to end public ownership of the firm in 2018. Related UK insurers Aviva and Direct Line agree on sweetened takeover bid Aviva buys Direct Line, gaining share of the UK motor insurance market The deal also comes after Ageas attempted to expand its UK footprint by bidding for Direct Line. The British car insurer rejected two takeover bids from Ageas, the second of which valued the firm at £3.2bn (€3.7bn), branding the offer as 'unattractive' for shareholders. Direct Line is now being acquired by the UK's largest insurer Aviva for £3.7bn (€4.3bn), a takeover Direct Line approved after rejecting the firm's first offer. The acquisition means the combined group dominates more than 20% of the motor insurance market and 15% of the home sector. Esure said it had seen 'excellent progress' in its financial report for 2024, making a turnover of £1.1bn (€1.3bn), compared to £973mn in 2023. The company made a trading profit of around £126.8mn (€146.7mn) last year, up from a loss of £16.7mn in 2023. The deal between Esure and Ageas comes after the UK government launched an investigation into the high cost of car insurance last year, although prices have been falling in recent months.
Yahoo
14-04-2025
- Business
- Yahoo
Ageas to acquire digital personal lines insurer Esure for £1.3bn
Belgium-based insurance group Ageas has agreed to acquire UK digital personal lines insurer Esure from Bain Capital for approximately £1.3bn ($1.7bn). Esure is known for its digital personal lines insurance with a presence on price comparison websites in the UK. The acquisition is in line with Ageas' priorities under its Elevate27 programme, which focuses on expanding its broker and partnerships personal lines business in the UK. The deal is set to merge Ageas UK with Esure, forming what it claims will be the third-largest UK personal lines platform in the UK, offering a distribution mix that includes direct, price comparison websites, brokers and partnerships. Esure, with its fully digital distribution model, operates three popular brands: esure, Sheilas' Wheels and First Alternative. In 2024, the company held more than 2.1 million policies and a gross written premium (GWP) of £1bn. In a press statement, Ageas said: 'We expect economies of scale in our UK personal lines portfolio and the accelerated implementation of the EIS IT platform, including Esure's complementary claims module, to drive operational efficiencies and cost avoidance for Ageas UK. 'Continued focus on technology, data and AI is expected to create further competitive advantages. In addition, capital benefits from enhanced diversification and the inclusion of Esure in Ageas's partial internal model are expected to emerge over time.' The transaction is structured to maintain Ageas' Solvency II target ratio at 150%, as it was at year-end 2024. Ageas expects its Solvency II ratio to decrease by only around 10% due to the inclusion of roughly €1bn of own funds instruments in the financing mix. Ageas Group CEO Hans De Cuyper said: 'This transaction will allow us to offer competitive value propositions to a wider customer profile via a multi-channel distribution model, positioning Ageas UK as one of the top three personal lines insurers. 'Acquiring Esure also supports our strategic ambitions of rebalancing our group profile towards businesses with high cash conversion.' Ageas UK CEO Ant Middle said: 'Under Elevate27, we want to continue to grow our broker and partnerships personal lines business in the UK, and Esure will help us to rapidly expand our direct distribution, our customer reach and our scale overall.' The deal, which is due to be completed in the second half of 2025, is subject to regulatory approvals. Last year, Ageas agreed to acquire Saga's insurance underwriting business and establish a 20-year partnership with the UK insurer. "Ageas to acquire digital personal lines insurer Esure for £1.3bn" was originally created and published by Life Insurance International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Yahoo
14-04-2025
- Business
- Yahoo
Sheilas' Wheels owner bought by Belgian insurer in £1.3bn deal
Belgian insurance giant Ageas has agreed to buy Esure, the UK-based owner of the Sheilas' Wheels brand, for £1.295 billion, it said on Monday. Ageas said it had agreed a deal with Esure's owners, investment group Bain Capital, which will create the third-largest platform in the UK for personal lines such as motor and home insurance. Hans De Cuyper, Ageas' chief executive, said the deal comes after several years of 'significant growth' in the UK market for the Belgian company. Esure has undergone a turnaround in recent years, and made a trading profit of £127 million in 2024 compared to a loss the year before, while turnover grew by one-sixth to £1.1 billion. It offers car and home insurance and has about two million customers, with Sheilas' Wheels and First Alternative as its leading brands. The company went public in 2013, with a listing on the London Stock Exchange, before Bain bought it for £1.2 billion five years later. The deal with Ageas is the latest in a period of consolidation in the UK insurance market, after Aviva agreed to buy Direct Line last year. Ageas had also made two bids to buy Direct Line, which represented a similar opportunity to grow its exposure to the UK's personal lines insurance sector, but ultimately abandoned the effort in 2024. The deal to buy Esure is expected to complete in the second half of this year, subject to regulatory approval. Ant Middle, Ageas' UK boss, added: 'As demand for motor and home insurance grows, Ageas will be perfectly positioned to gain market share and become the insurer of choice for our existing and new customers.' 'We want to continue to grow our broker and partnerships personal lines business in the UK, and Esure will help us to rapidly expand our direct distribution, our customer reach, and our scale overall. 'Esure's technical capabilities will match Ageas UK's and will enable us to develop our well-balanced business at greater pace and serve a wider range of customers. We're really excited for the potential this brings our UK business and wider group.' David McMillan, Esure chief, said the companies are 'two highly complementary businesses and creates an even stronger platform for continued innovation, growth and excellent delivery for our customers'.
The Guardian
14-04-2025
- Automotive
- The Guardian
Belgian insurer buys Sheilas' Wheels owner Esure in £1.3bn deal
The Sheilas' Wheels owner, Esure, will be sold to the Belgian insurer Ageas in a £1.3bn deal that will create the UK's third-biggest home and motor insurer. Ageas is buying the UK insurer from the private equity firm Bain Capital in a deal funded through a combination of surplus cash and debt or equity. The Belgian firm had tried to expand its UK presence by bidding for the car insurer Direct Line twice last year, but was unsuccessful, and Direct Line is being taken over by the UK's biggest insurer Aviva in a £3.7bn deal instead. Esure, which owns the esure, Sheilas' Wheels and First Alternative brands, sells insurance online through price-comparison websites and broker partnerships. It has been owned by Bain Capital since 2018. Esure and Direct Line were founded by the British entrepreneur Sir Peter Wood, who pioneered directly selling insurance over the telephone in 1985 with the launch of Direct Line. Esure was set up in 2000 'to offer competitive insurance by harnessing the power of the internet', it says on its website. David McMillan, Esure's chief executive, said: 'This transaction brings together two highly complementary businesses … We look forward to working alongside the Ageas team to build the UK's leading personal lines insurer.' Esure hailed a 'pivotal year with transformation' in 2024, when it increased policies by nearly 3% to 2.1m and raised turnover by 14% to £1.1bn. It swung from a loss of £16.7m in 2023 to a trading profit of £126m. Ageas' UK chief executive, Ant Middle, said: 'Esure is a significant addition to the Ageas UK business and aligns perfectly with our growth strategy. As demand for motor and home insurance grows, Ageas will be perfectly positioned to gain market share.' Analysts at JP Morgan reckon this is as good deal said the deal was good for Ageas. '[It] will substantially increase Ageas's scale in the UK personal lines market, taking into account Ageas's deal to acquire the personal lines business of Saga in 2025. 'It will also accelerate Ageas's position in the important price-comparison website channel. The deal will more than double Ageas's UK property and casualty revenues.' News of the acquisition comes as UK regulators are investigating the high cost of car insurance. After years of hefty price rises, premiums levelled off last year and have been falling in recent months, according to the price-comparison website Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning after newsletter promotion Elsewhere, the RSA Insurance name will disappear, as the 315-year-old company announced plans to adopt the trading name Intact Insurance by the end of this year, to align with its Canadian parent company, Intact Financial Corporation (IFC). RSA, founded as the Sun Fire Office in 1710, was acquired by Intact in 2021. Charles Brindamour, the chief executive of IFC, said: 'The transformation of the UK business since it was acquired by Intact in 2021 has been exceptional. Intact has a global footprint with big aspirations for the future and RSA is already a significant contributor. 'Aligning under the Intact brand is a natural next step in our strategy to strengthen our leading position in the UK, Europe and Ireland.'
