BRITISH insurance broker Giles was yesterday snapped up by far larger US rival Arthur J Gallagher in a £233m takeover deal that will lead to a hefty payday for many London-based employees.
Giles, whose headquarters are on Birchin Lane near to the Bank of England, will become part of a far larger group that has set its sights on expansion across the UK.
All existing Giles shares will be sold as part of the deal, meaning around a third of the proceeds will be shared among existing employees.
Private equity firm Charterhouse – who held the rest of the company’s equity – will be celebrating a £150m payday.
“Our team has been really impressed by the Arthur J. Gallagher culture and the level of engagement between the senior teams,” said Giles chief executive Brendan McManus, who will have a seat on the board of the combined company.
“It’s a great opportunity to combine two high performing businesses and deliver an even better proposition to our clients.”
Giles currently employs over 1,250 people, operates from 43 offices and manages more than 250,000 policies.
The transaction will also include two UK brokerage networks, Westinsure and Compass Broker Services.