7 March 2012
Defendant insurance firm eyes private equity
Keoghs: exploring opportunities to raise external funding for growth
Leading defendant insurance law firm Keoghs has confirmed that it is exploring opportunities to raise external funding.
Reports in the north-west suggest that private equity firm Bowmark Capital is in exclusive talks to take a stake in the business, which is headquartered in Bolton and also has an office in Coventry.
The Manchester Evening News claimed that Bowmark had fought off competition from the likes of LDC to win exclusive status, after Keoghs had appointed Deloitte to advise on its search for investment.
Keoghs describes itself as the only top 100 firm that works solely on handling and defending general insurance claims. A spokesman for Keoghs said: “Like many firms in our sector, we are currently exploring opportunities to raise external funding for growth as an alternative business structure (ABS).
“Bringing a long-term investment partner on board could potentially provide an opportunity to accelerate the firm’s expansion in the claims-related legal services market, where we believe there is a lo
ng-term opportunity for consolidation.
“This remains, however, an exploratory exercise to determine whether such a move would be in the interests of our firm and our clients. In the meantime, we remain focused on delivering our growth plan.”
Most of the significant announcements on ABSs or potential ABSs have been on both sides of the personal injury market this year, including Duke Street’s prospective purchase of the Parabis Group, Slater & Gordon’s planned acquisition of Russell Jones & Walker and Quindell Portfolio adding Liverpool firm Silverbeck Rymer to its group.
Legal Futures has also revealed recently that private equity firms Smedvig Capital and Sovereign Capital are on the look-out for investments in the legal market.
By Legal Futures
Tags: ABSs, Alternative business structures, private equity