We are advising Lightyear Capital on the strategic investment and related financing arrangements

Davis Polk is advising Lightyear Capital LLC on its strategic investment in Inszone Insurance Services and on the related financing arrangements. Lightyear will join Inszone’s current investor, BHMS Investments, LP, which will roll a material portion of its existing equity as well as invest additional capital alongside Lightyear. Financial terms of the transaction were not disclosed. The transaction is expected to close in the fourth quarter of 2023, subject to customary closing conditions and regulatory approvals.

Lightyear Capital is a financial services-focused private equity firm based in New York. Through its affiliated private equity funds, Lightyear makes primarily control investments in North America-based, middle-market companies across the financial services spectrum.

Founded in 2002 and based in Rancho Cordova, California, Inszone is a full-service insurance brokerage firm that provides a broad array of property and casualty insurance and employee benefits solutions. Inszone has completed and integrated 98 acquisitions since September 2020. The company services over 129,000 clients across all 50 states and employs a team of 512 employees across 63 locations.

The Davis Polk corporate team includes partner Michael Davis and associates Alex Yang and Evan McQuiston. Partner Robert F. Smith and associate Maggie Mantel are providing sponsor finance advice. Partner Ethan R. Goldman and associate April Filtz are providing tax advice. Partner Adam Kaminsky and associate Leo Hu are providing executive compensation advice. Partner Pritesh P. Shah is providing intellectual property advice. Members of the Davis Polk team are based in the New York and Washington DC offices.