Lancashire Holdings’ proposed plan to acquire Cathedral Capital Limited, a privately owned Lloyd's insurer, in an all-cash deal worth £266m, has been approved by its shareholders.

The transaction, originally signed on 7 August, was approved by shareholders at a special general meeting, about 99.04% of the votes cast were in favor of the purchase, however the transaction, is subject to relevant regulatory approvals.

Lancashire, a global provider of international specialty insurance and reinsurance products, stated that the acquisition will create value for its shareholders at a time of change in the market as well as strengthens and diversifies its core underwriting business.

Lancashire CEO Richard Brindle said that the acquisition of Cathedral represents an exciting and welcome addition to the Lancashire Group.

"Cathedral is an ideal partner for Lancashire, being a well-respected and well-run business within the Lloyd’s market that will complement Lancashire’s existing underwriting base," Brindle added.

Following completion of the deal, Cathedral will continue to be managed by its existing senior management team.