Lilley Plummer valuation rises in H1, returns money to backer

London-based alternative market-listed specialist investor BP Marsh has reported that specialist marine Lloyd’s broker Lilley Plummer Risks Ltd has achieved a plus 5p per share NAV increase during H1 2023 and said that “the performance of Lilley Plummer continues to be impressive, which is due to the growth of its underlying marine portfolio and diversification into different classes of business, including North American Property”.

The strong performance of Lilley Plummer has allowed the business to return £1.0m to the Group through:

  • the redemption of B.P. Marsh’s £0.7m of Redeemable Shares; and
  • The repayment of B.P. Marsh’s £0.3m outstanding loan facility with Lilley Plummer.

EBITDA at Lilley Plummer has grown from ca £412,000 in 2020, to ca £1.95m in 2022, with this growth continuing into 2023.

BP Marsh said that Lilley Plummer’s core Marine book had continued to perform well. It said that the marine insurance market on the whole had enjoyed a positive 2023, with premium income increasing and insurer loss ratios tracking much lower than previous years. The situation with Ukraine and Russia continued to create uncertainty, with war risk premiums remaining high.

Lilley Plummer’s new North American Property team had also performed well since joining the business, significantly outperforming both their revenue and EBITDA budget.

BP Marsh said that Lilley Plummer remained actively looking at new opportunities, within and outside of its core marine offering.

Lilley Plummer Risks is a specialist marine Lloyd’s broker that provides products across the marine insurance market. BP Marsh invested in the company in October 2019 and holds an equity stake of 30.0%.

The July 31st 2023 valuation of the BP Marsh investment was £8,861,000.