The management group that bought UK insurer Hastings from IAG for £23.5 million ($39.39 million) has sold half the company to an arm of Goldman Sachs, in a deal that values the business at £700 million ($1.17 billion).

IAG bought Hastings Direct – which sold car insurance by phone – in 2006, as part of what became a disastrous foray into Britain.

Hastings Chairman Neil Utley was at that time CEO, and he became head of IAG’s UK operations.

He was one of the managers who bought the company from IAG in 2009 before leaving the Australian group in 2010.

Hastings says it has grown rapidly under the management buyout and generated gross premium of £444.1 million ($744.43 million) in the year to June 30. The original owners and other employees are shareholders.