London broker sells unit for growth

LONDON—London-based broker THB Group P.L.C. has completed the sale of its regional retail business and has arranged additional capital as part of plans its expansion plans.

The broker sold THB Clowes Limited and THB Financial Services to Towergate Partnership Ltd.

Proceeds from the sale were almost £7 million ($13.8 million) on completion, with a further £4 million ($7.9 million) payable within 27 months. The company said in a statement that the proceeds of the disposal will initially be used to pay back debt, although THB's bankers have indicated their support for the company's growth plans with a "significant acquisition loan facility."

In a statement, THB said that the deal refocuses its business in the specialty market sector. "THB will continue to grow its operations in London and Peterborough—both organically and through selective acquisitions—focusing on high margin sectors where THB's expertise can make a difference. We will seek to acquire high quality operations—both corporate and teams—to complement our core strengths in United States catastrophe, motor fleet, sport and personal accident, and professional indemnity business," THB said in a statement.