German commercial lines broker gets ‘significant’ growth investment

A “significant growth investment” has been made in MRH Trowe (MRHT), an owner managed commercial lines insurance broker in Germany.

The undisclosed sum came from financial services specialist mid-market private equity investor AnaCap Financial Partners.

AnaCap said it will join the MRHT management team as a strategic growth partner with management remaining as the largest shareholder group in the company. The investment is intended to enable the acceleration of an acquisitions pipeline alongside investment in talent, data management and the application of technology.

This transaction allows management to remain as long-term committed shareholders of the group while continuing to build a leading, German commercial lines insurance broker, supported by AnaCap as collaborative investment partners.

Around 470 MRHT employees manage a premium volume of more than €300 million and helped to generate around €60 million of run-rate revenues in 2020.

As a specialist financial services investor, AnaCap will bring both capital and operational expertise to accelerate MRHT’s impressive growth through further acquisitions in the large and highly fragmented German commercial lines insurance broking market.

Tassilo Arnhold, partner at AnaCap, commented: “The longer-term outlook for the insurance broking market in the DACH region [of Austria, Germany, and Switzerland] is compelling.

"Our strategy is to partner with an excellent management team and to bring our experience of growth execution, as well as technological innovation in the insurance sector more generally, to support this outstanding growth opportunity. We anticipate working in tandem with the MRHT team over the coming years to accelerate a successful buy-and-build strategy in this attractive market.”