LONDON (ShareCast) - (Sharecast News) - BP Marsh & Partners announced a new investment to support the growth of its US-based investee XPT Group on Friday, through the launch of a new recruitment platform, XPT Producer Acquisition.
The AIM-traded private equity firm said it would take a 35% stake in the newly-established vehicle for a nominal $3,500 via cumulative preferred shares, and had committed to provide up to $12.5m in loan funding over two years at an interest rate of SOFR plus 6.5%, with a minimum of 10% per annum.

An initial $3.5m drawdown would be made on completion, with further drawdowns expected through late 2025 and 2026.

XPT Producer Co had been set up to accelerate XPT's growth strategy by recruiting and incubating experienced revenue-generating producers.

BP Marsh said its chief investment officer Dan Topping would join the new company's board.

"This investment is a natural extension of our long-standing partnership with XPT, with the Producer Acquisition Company solving a structural challenge around onboarding new revenue producers," said Topping said.

"Both initiatives align with our approach of backing entrepreneurial management teams with capital solutions tailored to their growth ambitions."

He added that since BP Marsh's initial investment in June 2017, XPT had grown from a start-up to being on track to produce around $1.23bn of gross written premium and $28m of adjusted EBITDA in FY25, following 18 acquisitions and numerous producer hires.

XPT chief executive Tom Ruggieri said: "The Producer Acquisition Company gives us a practical and scalable solution for bringing in top-tier talent and reflects our commitment to innovation and our focus on building a sustainable, high-performing specialty platform."

At 1409 BST, shares in BP Marsh & Partners were up 0.58% at 689p.

Reporting by Josh White for Sharecast.com.

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