Beazley has no plans to make an aggressive bid to acquire the total capacity for syndicates 2623 and 623 following its move for insurer Santam's stake.

Andrew Horton, chief financial officer at Beazley, said: "We are always keen to increase the group ownership of the underwriting capacity. We had a 78% of the combined capacity for syndicates 2623 and 623. Santam puts us at 81% for 2007."

The combined capacity for syndicates 2623 and 623 is £860m. In 2007, Beazley will underwrite £697m of the capacity, compared to £647m in 2006.

Mr Horton added: "We'd like to acquire the rest, but we won't make any aggressive move for it. We will be bidding when it is auctioned."

The remaining 19% of the combined capacity is owned by individual names, according to Beazley. "We have a great relationship with them," said Mr Horton. "You have to remember that they have supported us since 1986. Without them, we would not be here."

Santam made a profit before tax of £1.0m and had net assets of £10.8m for the year ended 31 December 2005. All future profits from 2004 to 2006 years of account will go to Beazley.