B.P. Marsh & Partners has committed up to US$5 million to Gambit Risk Finance LLC, a newly formed reinsurance vehicle supporting selected underwriting programs of its US-based investee company, XPT Group LLC.
Gambit Re, created to back XPT’s underwriting arm, Platinum Specialty Underwriters, will provide limited risk capital to chosen programs within Platinum’s portfolio on a fully collateralized basis.
B.P. Marsh will initially fund US$1.875 million of its commitment, receiving about an 8% preferred equity stake in Gambit Re with an annual preferred return of 8%. The vehicle will start by supporting five Platinum programs and will be managed by Platinum, with reinsurance administration outsourced to Atlantic Security Limited in Bermuda.
Gambit Re’s capital base totals US$60 million in preferred equity, comprising US$45 million from Accord Capital Investments, US$10 million from RSP (a vehicle formed by XPT senior management), and US$5 million from B.P. Marsh.
Accord Capital, based in Chicago, provides strategic capital and operational guidance to early-stage and mature insurance enterprises alike.
Chief investment officer Dan Topping (pictured above) said the Gambit Re arrangement allows XPT to align closely with its carrier partners.
"The initiative aligns with our approach of backing entrepreneurial management teams with capital solutions tailored to their growth ambitions. We are pleased to continue supporting the XPT team in building a best-in-class specialty platform,” Topping said.
In November, B.P. Marsh made an additional US$12.6 million investment in XPT Group LLC. That investment included both equity acquisition from senior XPT managers and a US$6.3 million loan facility, expanding XPT’s bank facility from US$67 million to US$122 million under syndication with First Eagle Bank.
Following the deal, B.P. Marsh held a fully diluted stake of approximately 29.6% in XPT.
The specialist investor also recently increased its equity holding in Pantheon, a Lloyd’s and London broking firm, to 39%, valuing the business at £275 million.
That transaction was funded from cash reserves and accompanied by a £5 million revolving loan facility – £3.5 million of which was drawn at completion – to support growth initiatives, team expansion, and potential mergers or acquisitions.
As of January 31, 2025, B.P. Marsh & Partners reported group funds totaling £74.1 million, up from £40.5 million a year earlier. This followed the group’s realization of £65.7 million in proceeds from two disposals and the execution of three new investments. The board also reiterated an intention to pay at least £5 million in annual dividends through 2028.
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