GRP’s Newstead buys local broker

Global Risk Partners’ (GRP) Birmingham brokerage, Newstead Insurance Brokers has announced its first acquisition following it becoming part of the GRP stable earlier this year.

Newstead director Paul O’Donnell confirmed that it is acquiring 100% of the share capital of Alford Burton and Company which is also located in Birmingham.

Local
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.”

O’Donnell also confirmed that all employees will remain with the business and that Alford Burton will remain in its current location in Moseley.

When GRP’s deal to buy Newstead was announced earlier this year head of M&A at GRP, Stephen Ross, described it as a “flag in the ground in Birmingham from which we are keen to build”.

Expansion
Of today’s announcement Ross 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.”

He added: “Our model is proving to be a powerful means of identifying good quality brokers with deep community links and a passion for growth.” 

Commercial
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.

Daniel Alford commented: “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.”

The deal has been approved by the regulator, and the consideration is undisclosed.

For all the latest industry news direct to your inbox, sign up for our daily newsletter.