3i, a world leader in private equity, announces a new partnership with Hyperion, a leading international insurance group, investing for a minority shareholding in the company in a deal valuing the business in excess of £120m.
3i will support Hyperion as it enters its next phase of growth - expanding both the range of products it provides and the territories in which it operates. 3i is seeking to bring value through additional funding, its global contacts and strategic counsel based on experience in the sector.
Founded in 1994 by David Howden, Hyperion focuses on a range of specialist insurances including Professional Indemnity and Directors’ and Officers’ Liability through its subsidiaries: Howden, DUAL and CFC. The Group now serves clients in 50 countries with offices throughout Europe, Scandinavia, the Middle East, Asia, the Americas and Australia. The Hyperion Insurance Group has achieved an impressive annual growth rate of approximately 40% since inception.
David Howden, Chief Executive of Hyperion, said of the transaction: “In choosing 3i as our partner, it was important to us that they embraced the entrepreneurial spirit of our group and shared our ambition to build a world-beating specialist insurance business. I believe they will enhance our entrepreneurial flair and ability to continue to attract and retain the very best people. 3i’s long established brand, global network and considerable management expertise, combined with its financial strength, will help us to achieve a faster pace of international growth, both organically and through acquisitions.”
Gordon Hague, 3i Director added: “We at 3i Growth Capital are thrilled to be backing Hyperion: a global success story and a leader in the specialist insurance sector. We have been impressed with the entrepreneurialism and quality of people at every level. This is an outstanding management team and we are confident that 3i can bring immense value based on our experience within the financial services sector and our track record partnering with ambitious businesses to drive growth globally. This investment is typical of 3i Growth Capital’s partnership style; equity rather than debt, full alignment of interests, an entrepreneur who retains control of the business, with 3i bringing the value of our international network to support the next phase of business growth."
This builds on 3i Investment Plc’s expertise in the financial services sector, with investments in Jelf Group, ACR, BestInvest, Fulcrum, KNEIP and Gain Capital amongst others in the last 18 months.