Insurance intermediary group Towergate has completed its acquisition of the provincial retail operations of specialist insurer THB Group, in a move that is expected to both boost THB's balance sheet and facilitate further expansion.

The businesses involved in the sale include THB Clowes, a retail broking unit and independent financial advisers THB Financial Services. The businesses will continue to operate from their existing offices but will be re-branded in the near future by their new owner.

The deal enables THB to focus primarily on the specialty market sector, with three subsidiary companies, Thompson Heath & Bond, THB Risk Solutions and THB Risk Management, continually developing tailored solutions for clients both in the UK and internationally.

THB Group chief executive Vic Thompson said: The combined funds place THB in an unprecedented position to develop in areas which best fit our business model. Our strength is in our specialisms, so our strategy is to focus on what we do best and where we can deliver superior results both for our clients and for our shareholders.

THB Group finance director Rob Wilkinson added: We have a very clear strategy: to build on our strengths in developing profitable business in specialist areas to promote the continuing success of the group…This step allows us to invest further in the areas where we can use our experience to develop profitable business and further strengthen our reputation as the preferred broker for specialist solutions.