DAC Beachcroft hands exclusivity to Limerston for Claims Solution Group carve-out

Josh OтNeill, with additional reporting from Min Ho
27 April 2023

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Limerston Capital has entered exclusive talks with DAC Beachcroft to acquire the law firmтs Claims Solutions Group т paving the way for a private equity-led carve-out of the practice, two sources familiar with the situation said.

Sellside advisor KPMG has been marketing Claims Solution Group off EBITDA in the region of GBP 14m amid a formal auction that has been running for several months, according to both the sources.

Limerston Capital, which is being advised by FRP Advisory, could close a deal in the coming weeks after fending off competition from rival sponsors Exponent and Epiris, which had participated in earlier bidding rounds, the first two sources and a third source familiar said.

In an emailed statement, DAC Beachcroft said: "Following an in-depth strategic review of our business, we have decided to explore all our options to enhance the long-term investment into our Claims Solutions Group. Claims Solutions Group continues to operate in a very dynamic market and we are constantly assessing those markets and adapting our strategy to ensure that we are able to invest in the future of CSG in a way that enhances CSG's overall offering and benefits our clients."

DAC Beachcroft's Claims Solutions Group is a claims law practice that provides specialist claims services to insurers and corporate clients.

The business operates from 12 UK locations across England, Wales, Scotland, Northern Ireland, and the Republic of Ireland, employing more than 1,000 people.

In legal directory The Legal 500 UK 2019, Claims Solutions Group was ranked in 18 practice areas, 11 of which were in the top tier, as well as its people being awarded 12 'Leading Individual' rankings. In personal injury, seven of its nine offices were ranked in the top tier.

In Chambers and Partners' 2019 edition, Claims Solution Group ranked in band one for personal injury and volume claims. Some 16 of its lawyers were also ranked that year.

Claims Solutions Group is organised into three operational service lines aligned with its clients' requirements, providing all key elements of a full service claims law firm.

Limerston Capital declined to comment. KPMG had not responded to a request for comment at the time of publication.