AIM-listed insurance consolidator Tawa has agreed to acquire the PRO group of insurance companies from Swiss Re for up to £38 million.

AIM-listed insurance consolidator Tawa has agreed to acquire the PRO group of insurance companies from Swiss Re for up to £38 million.

The PRO group has UK offices in London and Gloucester and employs 300 staff. The group generated profits after tax of £7 million in 2008. As part of the transaction, KX Re, a subsidiary of Tawa, will purchase £7 million of insurance receivables from PRO.

Tawa’s David Vaughan will replace Lee Brandon as CEO of PRO, who will step down as a director of the company but will continue to support the business as a consultant.

In the six months to June, Tawa reported an increase in net profits of 64 per cent to $2.3million (£1.4 million).