Acquisition trail still being walked

Although acquisition activity has slowed as a result of the credit crunch, there has been a trickle of deals from some smaller acquirers in recent weeks. Hastings-based Green Campbell Fisk, headed by directors Clive Galbraith and Duncan Coleman, has bought Folkestone-based commercial broker Stennings and its subsidiary Blackmore Heath, which is based in Sittingbourne. Both are Club 110 members and Aviva provided funding for the deal.

In June's PB (pp.28-31), Galbraith said that his broker had struggled to raise money through banks and so had instead approached insurers to help with the firm's expansion plans. The move proved successful: GCF has almost doubled its book of business this year. Directors John Jenkins, David Eldridge and Martin Bridges will continue at Stennings and Ian Gosling will stay on at Blackmore Heath. GCF also bought Worthing-based Graham Edwards, moving its gross written premium to £30m.

In addition, lan Turner - the holding company of London-based James Hallam - has acquired Essex-based corporate and personal lines broker Peter W Edwards & Co, as well as specialist London-based Landau Manson, which owns the hotel insurance brand Gauntlet.

Meanwhile, Michael Rea, chief operating officer at Towergate Underwriting, is set to replace Tim Johnson as chief executive of acquisition vehicle Cullum Capital Ventures. Johnson is leaving to head up sister company Paymentshield. Ratings agency Moody's has upgraded Towergate to a B2 rating following Paymentshield being brought into the group.

Peter Cullum, chairman of CCV, is vowing to make further acquisitions soon. Cullum said: "Market commentators have signalled a serious decline in mergers and acquisitions activity but CCV intends to buck the trend as we see many opportunities for regional expansion. Our acquisition pipeline remains as healthy as ever." Cullum looking for acquisition opportunities? Some things never change.