Towergate deal in race against CGT deadline

Insurance operator Peter Cullum is in advanced talks to sell a stake in his
company to US hedge fund Och-Ziff in a deal which could make him £70m.

Cullum’s insurance underwriter and broker, has reportedly been valued at about
£3bn, The Daily Telegraph reports. But advisers are in a race against
time to sew up the deal before the change in capital gains tax this weekend.

If a deal is done, Och-Ziff will own about £100m worth of preference shares
in Towergate, which could bring Cullum an estimated £70m. However, one person
familiar with the matter warned the deal was on ‘a knife edge’, according to
The Daily Telegraph.

‘There are still significant hurdles – such as tax, regulatory and banking
issues – to overcome before this weekend’s looming deadline,’ the executive

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