InterResolve / Capital raising
Cavendish Corporate Finance LLP is pleased to announce it has closed a major expansion capital raising for InterResolve, the leading claims resolution specialist which provides an independent mediation led approach to personal injury claimants in the car insurance industry. The deal involves an equity investment from Balderton Capital which will allow InterResolve to build a substantial war chest of around £30m for claims acquisition.
InterResolve’s business model cuts out no-win, no-fee lawyers who add substantial costs and delays to simple personal injury claims arising from road traffic accidents. InterResolve’s innovative approach has won multiple industry awards and also secured an exclusive partnership with Enterprise Rent-a-car to address all the injury and vehicle needs of non-fault drivers in accidents.
The expansion fundraising managed by Cavendish will provide InterResolve with the capital it needs to acquire claims of legitimate motor accident claimants before they are sold off to lawyers. InterResolve then arranges early medical care, independent legal advice and earlier compensation for claimants – all at a fraction of the usual cost to insurers. The company aims to secure enough claims to get a significant share of the market and in so doing save the car insurance industry billions of pounds and get a better deal for thousands of consumers.
Cavendish worked with InterResolve to prepare the business for a funding round in late 2009 that would enable them to raise the necessary capital to execute their business plan. Cavendish prepared and ran an equity fundraising process, approaching a wide range of potential investors, whereupon Balderton Capital became the front runner as they quickly grasped the substantial market opportunity of the disruptive InterResolve business model.
Simon Ramery, the partner who led the transaction, commented:
“We are very pleased to have assisted such an exciting business as InterResolve in securing the necessary funding to accelerate its growth. This deal demonstrates that significant capital is available from investors when an early stage business has a compelling value creation story. With this investment, InterResolve has the firepower to take on the inefficient incumbents in the personal injury claims market which should bring benefits for claimants and policyholders alike.”
Peter Ashdown-Barr, the Chief Executive of InterResolve, commented:
“Cavendish brought to the table extensive contacts in the venture capital industry and an understanding of how to present our investment case in the best light. All our business had been lacking was funding to achieve scale and with the capital secured from Balderton we are now empowered to bring about lasting change in the insurance industry and create significant value for all our shareholders along the way. We are delighted with the deal and with the invaluable help that Cavendish provided in obtaining it.”
Tim Bunting, Partner at Balderton Capital, added:
“InterResolve has demonstrated that it has a viable alternative to the current personal injury claims process. We believe that InterResolve has the structure and ability to deliver change across the market and we have every confidence in Peter’s ability to build the business further.”
I would thoroughly recommend Andrew and Rebecca and the Cavendish team to anyone looking to maximise the proceeds from a disposal or asset sale. The Cavendish team are both consummate professionals, focused on delivery and pragmatic and flexible in their approach to helping their clients achieve their objectives. I would not hesitate to recommend them and would hope to work with them on future projects. They provide great value.
I was delighted with the service that Cavendish offered and their real attention to detail. The deal was not without its complexities and it was reassuring to have Paul and his team assisting me throughout the negotiations.
Cavendish handled the transaction with elegance and efficiency. They were proactive, everything kept to time and we completed as planned, less than six weeks after agreeing the heads of terms.
We have thoroughly enjoyed working with the Cavendish team. Caroline, Andrew and Eimear offered us unstinting support and valuable advice throughout the transaction. They were instrumental in helping us achieve this result.
The team at Cavendish demonstrated their international reach and their tenacity to stick with the deal until it closed. They found the ideal owner… We are very excited at the new opportunities that we can now develop.
Cavendish Corporate Finance has been integral to the establishment of the New College of the Humanities, providing both valuable advice and managing a successful fundraising process that has enabled us to have a stellar founding shareholding group that provides not just capital but also experienced investors who will help NCH succeed and flourish.
Cavendish brought to the table extensive contacts in the venture capital industry and an understanding of how to present our investment case in the best light. All our business had been lacking was funding to achieve scale and with the capital secured from Balderton we are now empowered to bring about lasting change in the insurance industry and create significant value for all our shareholders along the way. We are delighted with the deal and with the invaluable help that Cavendish provided in obtaining it.
Thank you so much for the hard work you put into our sale. “We are delighted with the result both personally and for the company. We now have some work to do in maximising the benefits of the deal to both parties. Your support during the deal was excellent and helped us go through a process that was completely new to us. It seemed to go very smoothly and I know that much of that was due to your background work with Egis’s advisors. We also felt well supported on the detail of the final stages. “Many thanks once again to you both. It was a great time and a perfect outcome.
Cavendish played a crucial role both in achieving a good result for shareholders and in enabling Hawk-Eye to go to the buyer offering the most compelling strategic fit
Cavendish took the time to really understand our business enabling them to have a professional and well thought out approach to the deal. They assisted immensely with the due diligence process this being reflected in the depth of information needed at times along with the need to carefully manage the numerous requests for information. They provided the kind of support which in the process of selling your business gives you confidence that there is balance between providing information and negotiating elements of the deal.
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