A partnership that protects progress

When time is money, momentum is especially essential for a property sale. But what do you do when someone breaks in and steals valuable equipment from your site not once, but three times, during this process?

Essentra plc (“Essentra”), a global components business listed on the London Stock Exchange, called FM.

When Essentra set out to sell a mothballed industrial site in Nottingham, UK, they didn’t expect to face a number of break-ins in quick succession. Essentra had exited the site some time ago, following the sale of its Filters division in 2022.

It had been a strategic hub for decades, housing operations and R&D for a former division. Following an organisational transformation, the site became surplus to requirements – and disposing of it was far from simple. The bespoke nature of the site made finding a buyer a challenge. By late 2024, Essentra had secured a motivated buyer eager for a foothold in the region. The sale was set to be one of the final steps in Essentra’s multi-year transformation. But then, the unexpected happened:

Despite being under surveillance, intruders broke in and stripped the site of valuable copper from transformers and low-voltage equipment during separate incidents in January and February 2025. A deductible applied to each occurrence, but the February loss fell below the threshold. With the main electrical board destroyed, full repairs would have taken well into 2026 – far beyond Essentra’s plans. The question was: how to keep the buyer interested and the sale moving without months of costly remediation?

“This was one of the most complex disposals we’ve managed: environmental risks, a bespoke site, and a buyer we couldn’t afford to lose,” said Emma Reid, Essentra’s Company Secretary.

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A pragmatic solution

In Facing months of wasted planning and millions of potential financial losses, Essentra turned to its insurance policy. Rather than insisting on full replacement, FM proposed a settlement based on diminution of market value (DMV) – a pragmatic and policy-compliant option. This meant that Essentra could reduce the sale price to reflect the damage, enabling the buyer to deliver and fund repairs and customise the site to their needs. This approach also helped Essentra reach a settlement with the Filters business for their exit, easing financial pressure and aligning with Essentra’s broader strategic goals.

Fairness and flexibility

FM’s responsiveness and clarity were equally critical. Quick calls, fast turnaround, and upfront agreement on documentation gave Essentra the assurance they needed to adjust the sale price without risk. FM also agreed to use Essentra’s trusted contractor, avoiding delays from having to compare different quotations, and provided clear documentation guidance early, giving Essentra confidence to proceed with the sale.

“FM’s quick turnaround and clarity around documentation meant I could proceed knowing that if the paperwork was in order, the claim would be paid. That assurance was crucial,” said Chris Perkins, Essentra’s Head of Compliance & Risk Reporting.

FM did reimburse Essentra with the cost of replacing the damaged transformers and supported reconnection to the National Grid for essential areas, both necessary for the sale to proceed. The factory areas remained offline because the main electrical board had an exceptionally long lead time.

Outcome

The sale was successfully completed in early August 2025, despite thefts making the original end-of-June target unrealistic. FM settled the claim for £716,000 net of deductible, covering high-voltage replacements and DMV compensation. More importantly, Essentra retained its buyer, who benefited from flexibility to tailor repairs to their needs. And most importantly, Essentra avoided year-long delays. “When you make a claim with FM, you know you’re going to get a fair, reasonable outcome,” Perkins said.

A partnership that delivers

Essentra’s experience shows what claims differentiation looks like in practice:

• Partnership over paperwork: FM aligned the claims approach with Essentra’s business priorities.
• Protection with pragmatism: DMV delivered continuity where full replacement would have meant significant delay.
• Progress with pace: Fast decisions and clear communication kept a strategic divestment on track.