With Milestone's backing and support and an ambitious growth plan, we are seeking to take Compre to a new level in this highly specialised and attractive market. Nick Steer, Managing Director
| Location |  |
|---|---|
| Date of investment | Feb 2011 |
| Activity | Non-life insurance run-off |
| Investment Size | €6.6m plus acquisition capital |
| Type/stage | BIMBO/Buy and build |
| Revenues | |
| Transaction Size | Undisclosed |
| Management Team |
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| Milestone Board Members |
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The Business
Compre is a specialist non-life insurance group focused on acquiring Nordic, Continental European and UK insurance companies and portfolios that have been discontinued (run-off) by their parent companies. The company was established in 1990 via a management buy-out of a large insurer's run-off department. Compre took the ring-fenced run-off book and, over time, supplemented that portfolio with policies managed on behalf of third parties and, ultimately, made some further acquisitions.
The Compre team has highly specialised skills in managing "run-off" portfolios and provides a service that insurance companies are not generally equipped to deliver as effectively in-house. By selling portfolios to Compre, vendors remove the liabilities from their balances sheet that are otherwise expensive to maintain under ever more stringent Capital Adequency and solvency regulations.
Value Added Steps Planned:
- Settle claims on existing portfolios at lower cost and within a shorter timeframe that envisaged in original business plans, thereby releasing a high proportion of matched assets;
- Support the management team to continue and expand activities by acquiring further portfolios; and
- Improve operational efficiency.