GCP closes Alkeme continuation vehicle transaction with Apollo S3 support

By David Bull

June 12 - (The Insurer) - Alkeme Insurance backer GCP Capital Partners has closed a single-asset continuation vehicle transaction to support growth at the middle-market U.S. insurance broker, with Apollo S3 anchoring the deal supported by a “high-quality” syndicate of institutional investors.

The Insurer reported in April that private equity firm GCP was set to roll its investment into a continuation vehicle.

In a statement on Thursday, GCP said it will continue to control Alkeme and remains a significant investor in the company, along with the intermediary’s management.

The broker was founded in 2020 through the consolidation of several Southern California-based firms with the support of GCP and has since scaled to over 1,000 employees and more than $1 billion of premiums written annually.

GCP co-managing partner Boris Gutin said: “This transaction represents an important milestone for Alkeme. The company has grown substantially since its founding, and this transaction reinforces our conviction in Alkeme’s differentiated positioning and provides ample runway for continued growth.

“We are pleased to welcome Apollo S3 as an aligned partner and look forward to leveraging their strategic support as we guide Alkeme’s continued evolution as a next-generation insurance brokerage.”

Alkeme’s founding CEO Curtis Barton said the company has undergone a “tremendous transformation” over the past five years, “disrupting an increasingly dynamic insurance industry with a novel platform focused on empowering our agency partners and delivering exceptional client service”.

Apollo partner and co-head of S3 Veena Isaac said: “With an innovative operating model, highly experienced management team and strong institutional support, we believe Alkeme is well positioned for future success.”

Apollo S3 is the investment firm’s sponsor and secondary solutions business.