7 April, 2008 – Stockport claims handler is bought for £9.6million by Indian company
A Stockport-based business which handles claims for insurance companies has been sold to an Indian-based outsourcing firm in a deal worth up to £9.6m.
Chang Ltd, a holding company whose subsidiaries including Marple-based Call 24/7, Lawcall Direct and Claim 24/7, has been bought by Mumbai-based WNS (Holdings) Ltd, which is ultimately owned by US private equity house Warburg Pincus. WNS has paid an initial cash sum of £8m to Chang’s majority owner, Ian Griswold, with a further £1.6m payable if it meets certain performance targets by the end of the current financial year.
Griswold started his company’s claims management arm in 1990 and it has grown to handle around 95,000 claims each year for insurers. Until the sale, Griswold was the majority shareholder with a 55 per cent stake. Managing director Derek Howarth held 22 per cent, national accounts director Claire Griswold held 18 per cent and three other directors shared the remaining five per cent.
The business is now being rolled into WNS Assistance, which is part of the firm’s Middlesex-based UK subsidiary.
“The joint experience of Call 24/7 and WNS Assistance will create a compelling value proposition for UK insurance firms,” said Griswold.
Source: Crain's Manchester Business