Mourant has advised a New York-based private equity firm Elm Bidco on its takeover of AIM-listed GBGI, a global provider of international benefits insurance. Trading principally as GBG Insurance Group, GBGI offers services from policy sales to claim administration.
The takeover of GBGI was undertaken by way of a Guernsey scheme of arrangement and was sanctioned by the Royal Court in Guernsey. The aim of the takeover was to return GBGI to private ownership to enhance its financial and operational flexibility and to save on costs linked with being a public company.
Guernsey Partners John Rochester and Abel Lyall led the Mourant team, with Counsel Alex Davies and Associate Peter Callus, alongside lead onshore counsel Dechert in London and New York.
The recommended cash offer of $1.151 per share (valuing GBGI at $131.8 million) represented a premium of approximately 39.2% on the company's closing price of 84.50p on the last business day before the commencement of the offer period.
Appleby’s Guernsey office has advised GBGI on all Guernsey law aspects of the scheme, which came into effect on 20 February. Appleby’s team in Guernsey consisted of Corporate Group Partner Andrew Harding and Dispute Resolution Partner Anthony Williams, supported by Counsel Chet Pohl and Associate Gary Orritt. Appleby worked alongside Allen & Overy, lead counsel to the target company.