Stake in Hastings

GOLDMAN Sachs’ private equity division has bought a half-share in car insurance firm Hastings for £150m and immediately issued £415m of debt.

Hastings’ management, who bought the company out in 2009, will retain a 50pc share of the business.

Chief executive Gary Hoffman, who was paid nearly £1m for his work on a failed bid by NBNK for 632 Lloyds branches, said he hoped Hastings would a ‘force for good’ in the industry.

Hastings, which has some 1.3m customers, reported adjusted operating profit of £83.3m for last year. The deal comes at a challenging time for motor insurers, amid tighter regulation and an inquiry by the Competition Commission.