Jensten Secures US$211 Million Funding Boost, Pledges $1.2 Million Towards New Broker Launches
Jensten Secures US$211 Million Funding Boost, Pledges $1.2 Million Towards New Broker Launches
Jensten, a leading UK-based broker and underwriting group,  has secured US$211 million in new borrowing facilities, and has announced it is pledging $1.2 million towards launching new brokers. 

The additional funding sets the stage for a series of upcoming strategic acquisitions and organic growth initiatives. The support from established partners LGT Private Debt and Bridgepoint Credit underscores their confidence in Jensten‘s potential and forward-looking vision.

The London-based insurance broker also plans to invest up to $1.2 million in 2024 to assist 15 individuals in setting up their own independent brokerages. The investments will be facilitated through Coversure, the group’s network for independent brokers, and will provide experienced insurance professionals the opportunity to start their own businesses without the need for initial start-up capital.

The move introduces a new entry point to the Coversure franchise network, fostering a fresh pool of insurance broking talent that can eventually progress to running their own independent brokerages.

The initiative targets brokers with about 10 years of experience who are ready to start their own brokerages but lack the initial capital needed to leave their current employment and embark on their own business venture.

Under the terms of a three-year appointed representative agreement with Coversure, brokers accepted into the incubator will have all startup costs covered for the first six months, including IT services, PI cover, tools, support, coaching, and training. There is no repayment obligation to Coversure for any business written during this period. This funding is not a loan, and the appointed representatives are expected to become self-sufficient after the first six months, with the goal of eventually becoming fully regulated brokers within the existing Coversure franchise network of 90 brokers.

As part of the move, interested brokers can find out more by visiting Coversure’s “Guide to Starting Your Own Brokerage” which will provide them with all the information they require.

Investment opportunities expanded by new funding

Livingbridge Private Equity, Jensten’s majority shareholder, remains a strong supporter and plays a key role in driving the company’s continued expansion. The new funding demonstrates Jensten’s ability to attract significant investment as it pursues its strategic objectives.

Jensten concluded 2023 with the completion of 12 strategic acquisitions, including its largest acquisition yet: the East Anglian-based One Broker Group.

Carrying its momentum into 2024, Jensten has already completed two major deals this year: Henry Seymour & Co and Melville Burbage. These acquisitions have added 55 new employees and four new offices to the company. Henry Seymour & Co, known for its long-standing Salon Gold brand, brings valuable expertise in a specialised market, enhancing Jensten’s schemes and affinities capabilities.

The acquisitions align with Jensten’s strategy to grow its presence across the UK and establish regional centers of excellence, providing specialised services to a wide-ranging client base.

Commenting on the development, Jensten Group Chief Financial Officer, Ed Hannan, said: “This recent expansion in funding marks another important moment for Jensten, as the business advances on its growth trajectory. With enhanced financial firepower evidencing the support and confidence of our partners, the business is poised to convert its strong pipeline of new opportunities.”

Hannan continued: “with the increased funding available for acquisitions, Jensten continues to be an attractive choice for business owners who are considering their options. Our track record speaks for itself, and we remain well-equipped to strike further deals which align with our growth strategy. The commitment from our partners reaffirms our ability to offer attractive options to vendors looking for a collaborative business partner capable of helping them drive their business growth, ensure client satisfaction, foster staff development, and secure their legacy.”

He added: “Our most recent acquisitions are a clear demonstration of our ability to attract high-quality businesses into the Jensten family, where they have the support available to ensure they continue to thrive and flourish.”

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