KIRS Group, the newly formed holding company for insurance brokers Towergate, Price Forbes, Ryan Direct Group, Autonet and Chase Templeton, has launched an £800mn bond offering.

KIRS, which is backed by private equity firms Madison Dearborn Partners and HPS Investment Partners, also said that it had committed to enter a super-senior £90mn revolving credit facility.

The company said it intends to use the funds to refinance existing debt, finance the acquisitions of both Direct Group and Chase Templeton, pay for transaction costs and put “incremental” cash on its balance sheet.

The creation of new holding structure was announced in early May, with all five businesses set to be run independently.

KIRS is expected to launch in the third quarter of 2017.

"The management team has held a number of successful meetings with potential and existing investors globally over the course of the last couple of weeks,” remarked KIRS chairman John Tiner.

“The response to the creation of the KIRS Group, given its ability to broaden its services to clients and provide a platform for further expansion has been positive,” he added.

Meanwhile, Chief Executive David Ross said that the unveiling of the KIRS vision is proving to be a “momentous shake up” of UK general insurance.

“During these early, critical days of this Group, we are delighted by the feedback and support we have had from our people, peers and industry at large, all of whom have welcomed the news,” he concluded.

Bank of America Merrill Lynch is acting as global coordinator and sole physical bookrunner for the bond offering. Barclays, Credit Suisse, Goldman Sachs and KKR Capital Markets will act as joint bookrunners for the bond offering.