Birmingham brokerage Newstead Insurance Brokers has announced its first acquisition since becoming part of Global Risk Partners in November 2020.
Newstead director Paul O’Donnell confirmed that they are acquiring 100% of the share capital of Alford Burton.
O’Donnell said: “Alford Burton is a high-quality local insurance broker who will add considerable scale to our operation and help us to rapidly build out our presence in Birmingham and the West Midlands.
“They and their clients will benefit from the extra firepower from being part of a bigger group, especially in the current uncertain economic environment and the hardening commercial market.”
All employees will stay with the businesses and Alford Burton will remain in its current location in Moseley.
Alford Burton was founded in 1987 and its core business is commercial insurance for SMEs, ranging from manufacturers to professionals and contractors to charities. The two directors and vendors are Daniel Alford and Samantha Ryder.
Alford said: “This is a great deal for us and we look forward to being part of a bigger group. Newstead’s wide range of services, plus the added benefits of being part of GRP, were compelling reasons for us to make the decision to sell. We are excited by the opportunity to continue to grow under new ownership.”
Stephen Ross, head of M&A at GRP, said: “Paul O’Donnell and the Newstead team have made a fast start to their expansion plans since becoming part of GRP and this exciting deal with Alford Burton continues the momentum. I warmly welcome Daniel, Samantha and their excellent team to GRP.
“The GRP acquisition pipeline is well-developed and we are confident that we will land further deals as brokers seize the opportunity to capitalise on their life’s work, while continuing to run their businesses. The increasing complexity of regulation and compliance as well as potential changes to the tax regime have heightened our expectations that this will be a busy year for deals.”
The deal has been approved by the regulator, and the consideration is undisclosed.
GRP was founded in 2013. In June 2020, Searchlight Capital Partners, a global private investment firm, acquired a majority stake in GRP.