BP Marsh talks up portfolio ahead of full year results

BP Marsh & Partners was talking up its investments on Tuesday, ahead of the firm's full year results for the year ended 31 January 2016.

The AIM-traded niche venture capital provider said that, during the year, it made an additional investment in Nexus Underwriting to the tune of £1.74m. This brought Marsh's total shareholding in Nexus to 13.7%.

"This allowed Nexus to continue on its growth trajectory with the acquisition of Millstream Underwriting in December", the company's board said in a statement.

"The group's strategy is to increase its shareholding in Nexus over time to support its growth ambitions", it added.

Marsh's Besso Insurance Group also completed a refinancing deal with Clydesdale Bank, to support its continued growth. Besso's forecast revenue in 2016 was £37m, compared with the £22m reported in 2011 with an underlying EBITDA forecast of £6m.

BP Marsh's board recommended a dividend of 3.42p for the year, up from 2.75p per share for the year ended 31 January 2015.

"The dividend is in recognition of the steady growth of the group's investment portfolio, whilst also demonstrating to its diverse shareholder base that the group is an attractive capital and income investment", the board said.

Marsh said it would continue its strategy of share buybacks, with a strong investment pipeline going forward in 2016. It had £3.6m net cash available for new investment opportunities, with £7.3m expected by July from the realisation of the remaining Hyperion holding.

At 1310 GMT, shares in BP Marsh & Partners were up 3.35% to 156.16p.