March 2 confirmed the sale of underwriting agency, Randall & Quilter Marine Services (RQMS), to Bermuda-headquartered Insurance group, Hiscox Ltd for £7.375m.

In a recent statement, R&Q said its sale is part of the “targeted disposal strategy referred to in the group's November trading update, which will enable the group to focus on its core strengths.”

R&Q said that following a full evaluation process, “the board determined that the growth potential and value of the business is significantly greater for a large established underwriting group than for the group itself. This has been reflected in an offer for the business, which the board believes, delivers the best value for shareholders.”

According to Hiscox Ltd, the business was bought for £7.375m plus an earn-out payable in 12 months' time. The sale of high-net-worth managing general agent (MGA) Synergy, was also meant to be included in the sale. However, the two parties were unable to agree on terms and this fell through.
 
James de Labillière of Hiscox Ltd, commented on the sale, explaining, “R&Q Marine Services, which now operates under Hiscox MGA Ltd, is a good business with strong brands in Yachtsure, Yachtsure24 and Marinasure.”

He added that the sale, “complements our existing capabilities in the high-net-worth space and fits naturally with our long-standing strategy of growing a balanced portfolio of specialist insurance businesses.”

Labillière concluded, “by combining the team’s extensive knowledge and experience with our scale and distribution, both new and existing customers will benefit from the products and expertise on offer.”

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R&Q Marine Services (Yachtsure24)