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Craven House Capital scoops up US travel insurance provider
Merchant banking firm Craven House Capital announced on Friday that it has acquired US insurance provider IIU Inc for $2.5m in cash.
IIU sells global medical insurance products for international travellers through subsidiaries based in the United States and specialises in policies that cover high-risk destinations and emerging markets.
All policies are fully underwritten with no claim risk remaining with IIU and its adjusted pretax profit for 2017 was $0.5m.
The company said the acquisition was funded through an early repayment of a loan made by Craven House Capital to Greek holding company Xenod Tour Oikod Epeix Afon Daktylidi AE.
The holding company's soles asset is the 4-star Hotel Yiannakiny on the Hellenic island of Mykonos.
Craven House said its investment policy is to seek out companies, partnerships, joint ventures, businesses or other assets without geographic discrimination, and thus the company is often involved in restructuring, expansion and turn around investments in crisis and transitioning economies.
As of 1706 BST, Craven House Capital's shares were down 2.17% at $4.50.