Fast-growing motor insurer Cuvva enlists bankers to explore sale

Cuvva, a fast-growing provider of short-term motor insurance, has drafted in advisers to explore a sale a decade after it was founded.

Sky News has learnt that Cuvva has hired Perella Weinberg Partners to field interest from potential buyers following a series of unsolicited approaches. Sources said a sale process was expected to kick off in the coming months.

Money latest: Why your internet will be slower for a few weeks Cuvva has sold more than 13m policies since launching in 2015, and has signed up in the region of 1.4m customers. The company is chaired by the City grandee Bruce Carnegie-Brown, who recently stepped down as chairman of Lloyd's of London.

Roughly 7% of total UK monthly motor policies are now sold through the Cuvva app, according to the company. Based in London, it employs about 100 people.

Responding to an enquiry from Sky News, Cuvva said: "Following Cuvva's recently published 2024 financial results - highlighting a record year of growth and tripling profit - we have since received a significant amount of inbound interest. "As such, in the best interests of our business and shareholders, we will be exploring these to see if we can find the right fit for our future ambitions and next stage of growth as Cuvva matures.

"As a high-growth business that continues to experience tremendous success and profitability. "We will always consider all our options from interested parties - the priority is to ensure we deliver the best value for our shareholders and Cuvva." Read more:Landmark ruling issued on car finance caseYour rights when flights are delayed or cancelled The company has raised more than £20m from investors including LocalGlobe, the prominent backer of early-stage companies.

Last year, it tripled adjusted profit to £12.8m on turnover of £27.4m, driven by customer retention and high demand for short-term car insurance. Cuvva claims that roughly one in three 21-29 year old drivers in Britain have downloaded its app.

Its prospective valuation in a sale was unclear on Friday..