Ardonagh gets major investment from PE funds, ADIA & institutions

Ardonagh gets major investment from PE funds, ADIA & institutions

David Ross, Group CEO, commented on the news, “The recommitment of both HPS and MDP continues a partnership that has actually helped Ardonagh grow into an international broking powerhouse. Ardonagh has adequate opportunity to continue to build on its platform and increase its reach and profitability, and by increasing our investment today we are reaffirming our dedication to continue supporting those efforts. We are proud to be a key shareholder behind the Ardonagh workforce and look forward to our continued collaboration, alongside HPS and our and their new co-investors.”

The Ardonagh Group, a UK headquartered independent insurance coverage broking, servicing, management and underwriting company and the owner of reinsurance broker Inver Re, has actually protected a major investment that values the company at $7.5 billion.The institutional quality of the financial investment backing is a vote of confidence in the broking platform Ardonagh is constructing out, particularly since its acquisition of the BGC insurance coverage and reinsurance broking operations, including Corant Global and now its build-out of the Inver Re platform as well.
The business today announced a substantial new equity investment, led by existing long-term investors Madison Dearborn Partners, LLC and HPS Investment Partners, along with brand-new co-investors by means of accounts managed by MDP and HPS, that include a completely owned subsidiary of the Abu Dhabi Investment Authority (ADIA), and a variety of other large worldwide organizations.
The Abu Dhabi Investment Authority (ADIA) has actually been expanding its interests in insurance and reinsurance of late, both on a private equity basis and through its insurance-linked securities (ILS) portfolio.
Funds under the management of Madison Dearborn Partners, LLC and HPS Investment Partners will both increased their shareholding in Ardonagh and HPS will also reinvest in the Group.
The co-investors, including the ADIA subsidiary and other big worldwide organizations, are set to obtain more than $1 billion in equity as part of the transaction, which values Ardonagh at $7.5 billion.
David Ross, Group CEO, commented on the news, “The recommitment of both HPS and MDP continues a partnership that has helped Ardonagh grow into a worldwide broking powerhouse. Continuity of ownership after 6 years is the optimum outcome for us, enabling management to focus entirely on the execution of our technique and the conservation of the special Ardonagh culture.
Ardonagh has ended up being a top 20 global insurance coverage broker, putting $13 billion of premiums throughout its business and across the full spectrum of insurance and reinsurance risks.
With 8,000 employees across 100 places the company continues to grow too, particularly through its acquisitions.
At September 30th 2021, Ardonaghs income over the last twelve months was $1.5 billion, while adjusted EBITDA reached $530 million.
Vahe Dombalagian, Managing Director and Co-Head of the MDP Financial & & Transaction Services team, stated, “We have supported Ardonagh since the development of the Group and because time, weve experienced significant development and diversification. Ardonagh has ample opportunity to continue to construct on its platform and increase its reach and profitability, and by increasing our financial investment today we are declaring our dedication to continue supporting those efforts. We are proud to be a key shareholder behind the Ardonagh labor force and anticipate our continued partnership, alongside HPS and our and their brand-new co-investors.”
Scot French, Governing Partner of HPS, added, “Throughout our multi-year relationship dating back to their first day at the Group, we have steadfastly supported the Ardonagh management teams vision to develop a best-in-class, global insurance brokerage platform. We are excited to remain significant financiers in the Group as they continue to carry out on their growth method.”
Hamad Al Dhaheri, Executive Director, Private Equities Department, ADIA, likewise commented, “We are pleased to partner with Ardonagh, along with HPS and MDP, to support its strong management team in executing its international growth strategy. This investment continues to develop on our method and performance history of investing in market-leading companies across the insurance industry value chain.”

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