Proactive Investors - British insurance big cap Aviva plc (LON:AV) is set to enter the Lloyd’s insurance market with the acquisition of Probitas for a £242 million consideration.
Referring to Lloyd’s of London, the ‘Lloyd’s market’ is a syndicate of insurers and reinsurers that underwrite risk on complex insurance products.
Aviva will acquire Probitas's fully-integrated Lloyd's platform, encompassing its corporate member, managing agent, international distribution entities and tenancy rights to Syndicate 1492.
"This acquisition is another step in our strategy to invest in Aviva's future profitable growth,” said Aviva’s chief executive Amanda Blanc.
“Aviva's presence in the Lloyd's market opens up new opportunities to accelerate growth in our capital-light General Insurance business."
According to Aviva, Syndicate 1492 reported gross written premium (GWP) of £288m in 2023 and has delivered a 21% compound annual growth rate since 2019.
"As Probitas embarks on the next stage of its evolution, it was important to find a partner with the financial strength and commitment to enable Probitas to optimise its potential and ambition to significantly scale up and diversify the business,” said Ash Bathia, Probitas’ chief executive.