Blue Insurance sold to Zurich firm for €70m
Blue Insurance has been sold to a global travel insurance and medical assistance provider owned by Zurich Insurance in a deal understood to be worth up to €70m.
Zurich's Cover-More Group has acquired Blue's operations and websites in the UK and Ireland. Market sources said that €50m will be paid up front, with the potential for another €20m dependent on meeting certain criteria.
The main beneficiary of the deal is managing director Ciaran Mulligan, who set up the business in 2003 with Rowan Devereux. Mulligan bought Devereux out of the business in 2014 in a deal that valued Blue at around €20m.
The Sunday Independent revealed last March that a Zurich subsidiary was the frontrunner in the Blue sale process.
Blue Insurance has become a leading travel insurance intermediary and is also a provider of niche insurance, including car hire excess insurance, in both the UK and Ireland. Mulligan said its aim had been to provide an affordable alternative to traditional insurers.
Cover-More group chief executive Mike Emmett said the acquisition was an "excellent strategic fit for the group" and would provide it with an increased presence and market share in Europe.
The company has operations in 21 countries with leading market positions in India, the USA, where the group owns Travelex Insurance Services, and in Latin America with Travel Ace Assistance and Universal Assistance.
Sunday Indo Business