The North American trade buyer was one of the target's main customers and consequently benefited from a high degree of familiarity with its business. However, at the time of obtaining quotations for Warranty & Indemnity Insurance, there was limited information regarding the target's intellectual property.

The target was owned by a Spanish family who were looking for a liquidity event, but were keen to remain active within the target post-closing. Sale negotiations were well advanced before the deal reached the W&I market and insurance was ultimately placed after completion.

The buyer was particularly keen to obtain coverage using insurance, rather than having to pursue individuals key to the running of the business and also for warranties relating to the target's African operations. Icen Risk was able to assist the buyer from an early stage, using our in-house IP lawyers and analytics capabilities.

A post-completion policy was issued by Icen Risk. Our underwriting experience and expertise, including both Spanish and South African underwriters, enabled us to cover both material IP risk and the target's North African business risks to the client's satisfaction.