FBD offloads three units for €8.5m
INSURANCE group FBD has sold three of its subsidiaries for €8.5m to an Irish unit of UK firm Jardine Lloyd Thompson.
The subsidiaries offloaded are FBD Insurance Brokers, International Loss Control Services and FBD Risk Management Services, collectively called FBD Brokers. The three firms, which offer commercial insurance to large corporate clients, employ a total of 33 people in Dublin.
The unit is a provider of insurance broking services to the agri-food, waste management and renewable energy sectors.
FBD will receive an initial €6.75m under the terms of the deal. An additional €500,000 based on working capital will be paid on completion of the transaction, while a payment of up to €1.25m is payable in 2013 depending on performance.
FBD chief executive Andrew Langford said the sale of the divisions was a "significant strategic step" for FBD and would allow the group to focus on its core insurance underwriting business.
FBD has been increasing its market share as it expands outside its traditional agricultural base. Its shares closed 0.7pc higher at €6.50 yesterday.