CVC has closed the acquisition of a majority stake in Dale Underwriting Partners (Dale), which operates through Lloyd’s Syndicate 1729.

The deal was finalised after approval from the UK’s Prudential Regulation Authority.

In September this year, private equity company CVC and Dale formed an alliance.

As part of the partnership, CVC committed to investing in Dale to replace the company’s existing third-party funding suppliers and drive its growth.

At the time, CVC said the capital infusion will provide a substantial amount of long-term funding for Dale’s expansion.

The investment resulted in CVC acquiring a majority stake in the insurer, which was set up in 2014 by Duncan Dale.

A new group board will now be created, with Preben Prebensen serving as the independent non-executive chair.

In his more than 40-year-long banking and insurance career, Prebensen served as the CEO of Close Brothers Group for 11 years.

Dale is a specialist insurer, engaged in offering insurance and reinsurance lines across six core business lines.

These include property and casualty insurance, marine and property reinsurance, energy and special risks insurance.

With two distribution platforms, Lloyd’s Syndicate 1729 and Dale Dual MGU, Dale anticipates writing gross written premiums worth £540m ($684.79m) in 2024.

Duncan Dale said: “We are delighted to receive regulatory approval before the end of the year and look forward to executing our plans. Dale now enters its ten-year anniversary, and we look ahead to developing our partnership with CVC and continuing to build a leading Lloyd’s business.”

CVC managing director Martin Iacoponi said: “We are very pleased to receive approval and look forward to supporting Dale with CVC funds’ capital and our experience to help them grow and develop further.”

Managing €177bn in assets, CVC’s other insurance industry investments include Brit Insurance and RiverStone International.