David Ross, Group CEO, commented on the news, “The recommitment of both HPS and MDP continues a collaboration that has assisted Ardonagh grow into a worldwide broking powerhouse. Ardonagh has sufficient chance to continue to construct on its platform and increase its reach and profitability, and by increasing our investment today we are reaffirming our commitment to continue supporting those efforts. We are happy to be a key investor behind the Ardonagh labor force and look forward to our continued partnership, along with HPS and our and their new co-investors.”
The Ardonagh Group, a UK headquartered independent insurance broking, management, underwriting and servicing company and the owner of reinsurance broker Inver Re, has actually protected a major financial investment that values the company at $7.5 billion.The institutional quality of the investment backing is a vote of confidence in the broking platform Ardonagh is constructing out, particularly given that its acquisition of the BGC insurance coverage and reinsurance broking operations, including Corant Global and now its build-out of the Inver Re platform too.
The business this early morning revealed a significant brand-new equity investment, led by existing long-lasting shareholders Madison Dearborn Partners, LLC and HPS Investment Partners, alongside brand-new co-investors through accounts handled by MDP and HPS, that consist of a completely owned subsidiary of the Abu Dhabi Investment Authority (ADIA), and a variety of other big international organizations.
The Abu Dhabi Investment Authority (ADIA) has actually been broadening its interests in insurance coverage and reinsurance of late, both on a personal 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 international organizations, are set to acquire more than $1 billion in equity as part of the deal, 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 actually helped Ardonagh grow into an international broking powerhouse. Connection of ownership after 6 years is the optimum outcome for us, permitting management to focus solely on the execution of our method and the conservation of the special Ardonagh culture.
Ardonagh has actually ended up being a top 20 worldwide insurance coverage broker, placing $13 billion of premiums throughout its company and throughout the complete spectrum of insurance coverage and reinsurance dangers.
With 8,000 workers throughout 100 areas the business continues to grow also, specifically through its acquisitions.
At September 30th 2021, Ardonaghs income over the last twelve months was $1.5 billion, while changed EBITDA reached $530 million.
Vahe Dombalagian, Managing Director and Co-Head of the MDP Financial & & Transaction Services group, said, “We have actually supported Ardonagh given that the development of the Group and in that time, weve witnessed remarkable growth and diversity. Ardonagh has adequate opportunity to continue to build on its platform and increase its reach and success, and by increasing our financial investment today we are reaffirming our commitment to continue supporting those efforts. We are proud to be an essential investor behind the Ardonagh workforce and eagerly anticipate our continued collaboration, together with HPS and our and their new co-investors.”
Scot French, Governing Partner of HPS, added, “Throughout our multi-year relationship going back to their very first day at the Group, we have actually steadfastly supported the Ardonagh management groups vision to construct a best-in-class, global insurance brokerage platform. We are delighted to stay significant investors in the Group as they continue to perform on their growth strategy.”
Hamad Al Dhaheri, Executive Director, Private Equities Department, ADIA, also commented, “We are happy to partner with Ardonagh, alongside HPS and MDP, to support its strong management group in executing its global development technique. This investment continues to construct on our strategy and performance history of investing in market-leading organizations across the insurance market value chain.”