AnaCap Takeover Of Brightside Receives UK FCA Approval

LONDON (Alliance News) - Brightside Group PLC Wednesday said Belvedere Bidco Ltd has received approval from the UK's Financial Conduct Authority for its planned takeover of Brightside.

In May, the specialist insurance broker said it had reached a deal to be acquired by a Belvedere, a newly formed company indirectly owned by AnaCap Financial Partners II LP, as Brightside reported a 36% decline in pretax profit in its last financial year.

The 25 pence a share deal with AnaCap Financial Partners II values Brightside about GBP127.0 million. AnaCap Financial Partners II is a fund ultimately managed by AnaCap FP GP II Ltd, which is advised by European private equity firm AnaCap Financial Partners LLP.

AnaCap raised EUR575.0 million to launch AnaCap Financial Partners II in 2009, receiving backing from institutional investors such as Goldman Sachs, Allianz, and Morgan Stanley.

Brightside said on Wednesday that court hearings to sanction the takeover will take place between July 22 and July 24, and it expects shares to be cancelled from AIM trading on July 25.

Also on Wednesday Bidco entered into a senior sterling facilities agreement with, amongst others, Lloyds Bank PLC, to help finance the acquisition.

The offer comes after a difficult 2013 for Brightside, during which it was the subject of takeover interest from shareholder Markerstudy. Brightside terminated talks after Markerstudy indicated it was considering making an offer in the range of 20-22 pence per share, which the company thought undervalued the business.

Brightside shares were untraded Wednesday; they were last quoted at 24.00 pence.

By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1

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