Cullum’s firm to get £200m

INSURANCE broker Towergate Financial is close to securing a £200m cash injection from private equity group Advent International.

The insurer, established by City high-flyer Peter Cullum, is in exclusive talks which would see Advent take a significant minority stake in the company, a source close to the company confirmed last night.

Founded by Cullum, who received a CBE in the New Year’s Honours List for his charitable work, the company has grown to beome one of Britain’s top insurance firms.

It may look to list on the stock market within the next few years, and could use the cash to prepare for an initial public offering.

Towergate could also issue bonds later this year, as part of a refinancing programme, as many of its debt facilities are thought to be set to expire next year.

Towergate is one of Britain’s leading insurance firms. It employs hundreds of people and is expected to seek a stock market listing in 2013 that could see it head towards the FTSE 100.

Advent and Towergate declined to comment last night.

The insurer provides independent financial advice, and has ambitious growth plans.