2007
(12/01/2007) AXA UK announces acquisition of broking firms Stuart Alexander and Layton Blackham
Acquisition strengthens AXA's distribution platform through the provision of broking services to the SME market.
AXA UK announced today that it has reached agreement with insurance brokers Stuart Alexander and Layton Blackham to acquire both businesses. AXA UK will be acquiring both firms through its subsidiary Venture Preference Ltd which already owned 38.9% of Layton Blackham.
The two companies are to be combined and will have considerable autonomy to develop the business and will maintain independent broking status. Quality accounts with current insurers will be maintained and grown.
Chris Blackham, CEO of Layton Blackham, will become Chairman and Stuart Reid, CEO of Stuart Alexander, will become the CEO of the new company. Initially it will continue to trade under the existing names but will be rebranded in the future.
Peter Hubbard, Chief Executive of AXA Insurance, said: "We are extremely pleased to have concluded these transactions and to gain ownership of these two quality broking businesses that operate in the commercial insurance market.
"It is a strategic priority for AXA in the UK to strengthen its distribution platform and gain greater access to its customers and we believe that these acquisitions will provide a solid foundation for further growth.
"AXA will run Stuart Alexander and Layton Blackham as an independent broking firm, separate from AXA Insurance. We believe that this acquisition will help strengthen our overall market proposition by extending our offer to the provision of broking services to SMEs and property owners.
"These transactions will enable AXA UK to diversify its source of revenues and, at the same time, benefit from the growth of the brokerage business."
Chris Blackham, CEO of Layton Blackham, said: "We have had a very close relationship with AXA over the past few years, not least as they held a significant minority interest.
"We see AXA's backing as fundamental to our long term goals to grow the business. AXA's arms length involvement means we keep independence over the placement of business which will be key to attracting other independent regional brokers to join us."
Stuart Reid, CEO of Stuart Alexander said: "This is a really exciting opportunity for us. Now that we have the strength of AXA behind us we will be better able to expand this new business and bring on new customers as well as improve profitability."
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About AXA
AXA UK is a part of the AXA Group. AXA Group is a worldwide leader in Financial Protection. AXA's operations are diverse geographically, with major operations in Western Europe, North America and the Asia/Pacific area. IFRS revenues amounted to €72 billion for full year 2005 and €59 billion in the first 9 months of 2006. The AXA ordinary share is listed and trades under the symbol AXA on the Paris Stock Exchange. The AXA American Depository Share is also listed on the NYSE under the ticker symbol AXA.
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Stuart Alexander
Stuart Alexander is a specialist commercial lines broker with around 80% of its revenues derived from commercial broking. In 2006 gross written premium totalled approximately £56m and it employs around 130 employees.
Layton Blackham
Layton Blackham is a specialist commercial lines broker with over 80% of its revenues derived from commercial broking. In 2006 it controlled approximately £137m of gross written premium (£85m directly and £52m through its broker network). It operates from 12 sites nationwide and employs 465 staff.