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 assisted Ardonagh grow into an international broking powerhouse. Ardonagh has adequate chance to continue to construct on its platform and increase its reach and success, and by increasing our financial investment today we are declaring our dedication to continue supporting those efforts. We are proud to be a crucial shareholder behind the Ardonagh labor force and look forward to our continued partnership, together with HPS and our and their brand-new co-investors.”

The Ardonagh Group, a UK headquartered independent insurance broking, underwriting, management and maintenance company and the owner of reinsurance broker Inver Re, has protected a major financial investment that values the firm at $7.5 billion.The institutional quality of the financial investment backing is a vote of self-confidence in the broking platform Ardonagh is developing 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.
The company today announced a considerable brand-new equity investment, led by existing long-term shareholders Madison Dearborn Partners, LLC and HPS Investment Partners, along with brand-new co-investors by means of 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 institutions.
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, consisting of the ADIA subsidiary and other large global 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 assisted Ardonagh grow into a global broking powerhouse. Continuity of ownership after 6 years is the optimal result for us, enabling management to focus solely on the execution of our strategy and the conservation of the unique Ardonagh culture. We are also delighted to welcome HPS and MDP co-investors to the Group. Their worldwide, long-lasting ambitions are completely aligned with our own and those of our other investors, protecting our objective of being a private enterprise for years to come. Today is a major turning point in Ardonaghs journey and the accomplishment belongs to our greatest possession– each of our individuals.”
Ardonagh has ended up being a top 20 international insurance broker, putting $13 billion of premiums across its service and throughout the full spectrum of insurance coverage and reinsurance threats.
With 8,000 staff members throughout 100 locations the business continues to grow too, 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, stated, “We have supported Ardonagh given that the formation of the Group and because time, weve seen significant development and diversification. Ardonagh has adequate opportunity to continue to construct 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 happy to be a crucial investor behind the Ardonagh labor force and eagerly anticipate our continued partnership, along with 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 very first day at the Group, we have actually steadfastly supported the Ardonagh leadership teams vision to build a best-in-class, worldwide insurance coverage brokerage platform. We are delighted to stay significant financiers in the Group as they continue to perform on their growth strategy.”
Hamad Al Dhaheri, Executive Director, Private Equities Department, ADIA, likewise commented, “We are delighted to partner with Ardonagh, along with HPS and MDP, to support its strong management group in performing its worldwide development technique. This financial investment continues to construct on our strategy and performance history of purchasing market-leading services across the insurance coverage market value chain.”

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