LONDON (dpa-AFX) - FBD Holdings Plc (FBH.L) Friday said it has sold its subsidiaries, FBD Insurance Brokers Limited, International Loss Control Services Limited and FBD Risk Management Services Limited, collectively called FBD Brokers, to JLT Insurance Brokers Ireland Limited for up to 8.5 million euros.
FBD Brokers was established in 1973 by FBD to manage the commercial insurance needs of large commercial and corporate clients. It is a leading provider of insurance broking services to the agri-food, waste management and renewable energy sectors. FBD Brokers has 33 employees and is headquartered in Dublin.
JLT Ireland is the fifth largest insurance brokerage in Ireland and is part of the Jardine Lloyd Thompson Group Plc. (JLT.L).
The total consideration for the transaction comprises an initial payment of 6.75 million euros, an additional payment of 0.5 million euros based on working capital on completion and a deferred payment of up to 1.25 million euros, payable in 2013 based on FBD Brokers' financial performance in the year after completion.
In the year ended December 31, 2010, FBD Brokers generated a profit before tax of about 1.2 million euros. As of the same date, it had gross assets of around 16.2 million euros and net assets of approximately 2.2 million euros.
Andrew Langford, Group Chief Executive of FBD Holdings, said, 'Today's announcement of the sale of FBD Brokers is another significant strategic step for FBD, which will allow us to focus on our core insurance underwriting business and to pursue further growth in the business insurance market through the broker channel.'
Copyright RTT News/dpa-AFX