UPDATE 1: 6:47 a.m. ET 3/18/2021: Davies Group’s incumbent lender Permira Debt Managers is exiting its position amid BC Partners’ acquisition of the company, sources told Reorg. Blackstone Credit provided a £950 million debt package to support the transaction.
Continue reading for our EMEA Middle Market team's update on Davies Group's acquisition, and request a trial for access to our analysis and reporting on hundreds of other stressed, distressed and performing credits.
Permira Debt Managers did not participate in the acquisition financing but is getting repaid, sources said.
--Kerstin Kubanek
Original Story 12:15 p.m. UTC on March 17, 2021
Blackstone Credit Provides £950M Debt Package to Back Davies Group Acquisition by BC Partners
Relevant Document:
Davies Group Press Release
Blackstone Credit has provided a £950 million debt financing to support BC Partners’ acquisition of a majority stake in the U.K. insurance technology company Davies Group, sources told Reorg. The package includes a £520 million unitranche, a £350 million committed add-on facility and an £80 million RCF, the sources said.
Blackstone Credit is the sole lender for the transaction, sources said. The private debt fund declined to comment.
BC Partners announced the acquisition of a majority stake in Davies Group on March 16. The sponsor is buying the company from the existing investors HGGC and AIMCo who will maintain a minority stake, according to a press release.
Davies Group provides professional services and technology solutions, including claims, underwriting, distribution, regulation, customer experience, human capital, digital transformation and change management for the insurance industry.
The company employs more than 4,000 people serving more than 800 clients across the U.K., Bermuda, Canada and the U.S. It generates annual pro forma revenue of more than £350 million, the press release said.
--Kerstin Kubanek, Mario Oliviero