Berkeley Morgan Group has been acquired by its competitor, AIM listed Personal Group in a 12.3 million cash deal.
The offer, of 105p per share represents a premium of approximately 30% over BMGs closing share price of 81p.
As a result of the deal, a multi million pound windfall will be shared by BMG staff and consultants.
BMG sells a variety of products to financial intermediaries. Its subsidiaries include Berkeley Morgan Ltd, Berkeley Morgan Healthcare, RE Gee, Universal Provident Limited, Rapidinsure.co.uk Limited and BM Agency Services.
BMG chairman Jon Pardoe says: We are delighted to be joining forces with Personal Group which is one of the countrys leading providers of employee benefit insurance and consultancy. “
Personal Group chairman Christopher Johnston says: The acquisition is an ideal fit and will take us into new areas of the insurance services market.