Houghton M&A is not only one of the leading intermediaries in transaction insurance in the UK and Continental Europe – the company also established its first Nordic office in Stockholm a year ago, as a result of which they now hold significant market share in all Nordic countries.
Since Houghton M&A opened its first Nordic office in Stockholm in 2019 under the leadership of Carl Levine and Alexander Rasmussen, the company has been filled by two former lawyers at leading law firms in Stockholm and Copenhagen, respectively.
– The local firm has received with great interest from the private equity sector, real estate companies and traditional companies with high transaction flow. Many leading players in these fields and their international law firms have already worked with us in other European countries where they have appreciated our service and expertise. Now even leading law firms in Sweden, Norway, Finland and Denmark are beginning to open their eyes to the quality advice we provide and how we differ from competition, says Sweden President Carl Levine.
Based on Houghton M&A’s rapid growth and strong brand insurance advice in Europe, it has a boutique feel that combines the company’s entrepreneurial motivation and access and commitment with leading insurance expertise. This foundation is built on the premise that law firms, investment banks, auditing firms and consulting firms can assist clients throughout the insurance process with teams of experienced experts with many years of experience in transactions, Carl continues.
– We are often told by our clients and their advisors that we also have a value-adding and appropriate approach to our consultation. We work hard to stay active and always go deeper to understand our customers ’transactions, their deals and related risks. In addition to the expected negotiation and mediation of the insurance contract, we always work closely with the client and its advisors, where we provide comprehensive advice on everything from the terms of the guarantees in the transaction agreements to the purpose of the consultant. He called for all diligence and the best insurance plan to ensure an efficient process.
Private stock is not limited to customers
One of the reasons for the rapid growth of the industry and Houghton M&A is the transactions related to the desire of private equity and large real estate funds to make “clean outflows”. The current trend, however, is that other players are beginning to realize the benefits of transaction insurance, and it is not just the big deals that can be insured.
– The idea is that the buyer will take out a transactional insurance with a view to indemnifying the seller’s cash liability as a result of breach of warranty under the transfer agreement, thereby transferring the risk from the seller to the insurer. The purchase price can then be used for free and any claims for warranty breaches will be paid to the insurer instead of the seller. Of course, this is not only in the interest of the private equity, because groups selling subsidiaries to individuals selling family-owned property can all benefit from non-dispute or allocation of funds for potential warranty breaches. This segment of the insurance market has also become increasingly competitive, and today we find insurers offering affordable solutions for businesses or investments with SEK 100 million already transaction values, Carl concludes.
Fakta Om Houghton M&A
Houghton M&A is an insurance brokerage firm that provides expertise and advice on transaction insurance. Founded in Stockholm in 2019 by Houghton M&A Nordenconder, the company is headquartered in London across Europe and has local offices in Stockholm, Frankfurt, Munich, Amsterdam, Madrid, Warsaw and Paris. Houghton is part of the M&A Hyperion Group, one of the largest employee-owned insurance brokerage groups in the world with over 5,000 employees in 40 countries.