RQIH.L Regulatory News (RQIH)

Randall & Quilter Investment Holdings plc

Acquisition

Randall & Quilter Investment Holdings plc ('R&Q' or the 'Group') is pleased to announce that it has completed the acquisition of the entire issued share capital of Capstan Insurance Company Limited ("Capstan"), a Guernsey domiciled captive insurer, from the owners Roger and Elizabeth Bullivant.

Capstan has been in run-off since October 2010 and previously wrote Professional Indemnity and Product liability for Roger Bullivant Limited and its subsidiaries, a building foundation company. The Net Asset Value of Capstan based on the latest available management accounts is estimated at c. £5.4 million and Capstan was acquired by R&Q at a discount to net asset value.

Commenting on today's announcement, Ken Randall, Chairman and Chief Executive Officer of Randall & Quilter, said:

"The acquisition of Capstan further evidences the increasing level of acquisition activity we are seeing as a Group. It also continues to demonstrate our ability to provide attractive exit solutions for captive owners who have put their captives in run-off or are contemplating ceasing writing new business. This will be our fourth captive acquisition in 2012 and our third in Guernsey this year."

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Enquiries to:

Randall & Quilter Investment Holdings PLC www.rqih.com

Tom Booth Tel: 020 7780 5850

Numis Securities Limited

Stuart Skinner (Nominated Adviser) Tel: 020 7260 1000

Charles Farquhar (Broker) Tel: 020 7260 1000

Shore Capital Stockbrokers Limited

Dru Danford/Stephane Auton Tel: 020 7408 4090

FTI Consulting

Neil Doyle/Edward Berry Tel: 020 7269 7237 /7297

Notes to Editors:

Since formation, Randall & Quilter has pursued a buy and build strategy to create a comprehensive range of investment activities and services in the global non-life insurance market and is focused on the following four core areas:

- Insurance Investments;

- Insurance Services;

- Underwriting Management; and

- Captives.

The Group currently:

- has a team of up to 400 insurance professionals based in the UK, USA, Bermuda, and Continental Europe with wide service capability in both the 'live' and 'run-off' market;

- has a portfolio of 10 insurance companies in run-off (from the UK, US and Continental Europe) with net assets of c.£85.5m as at 31 December 2011;

- provides 'turnkey' management services to Lloyd's syndicate 1897, manages two RITC ('run-off') syndicates and owns and operates 5 MGAs.

- acquires and manages a portfolio of insurance receivables, with a carrying cost of c. £8.2m as at 31 December 2011;

The Group was founded by Ken Randall, Executive Chairman and Chief Executive, and Alan Quilter, Chief Operating Officer, who both have extensive experience in the industry including as Head of Regulation of Lloyd's and as Head of the Market Financial Services Group respectively