The Ardonagh Group, a UK headquartered independent insurance coverage broking, underwriting, management and maintenance business and the owner of reinsurance broker Inver Re, has protected a major financial investment that values the company at $7.5 billion.The institutional quality of the financial investment support is a vote of confidence in the broking platform Ardonagh is developing out, specifically considering that its acquisition of the BGC insurance and reinsurance broking operations, including Corant Global and now its build-out of the Inver Re platform also.
The business today announced a substantial brand-new equity financial investment, led by existing long-lasting investors Madison Dearborn Partners, LLC and HPS Investment Partners, along with brand-new co-investors through accounts handled by MDP and HPS, that include an entirely owned subsidiary of the Abu Dhabi Investment Authority (ADIA), and a number of other large worldwide organizations.
The Abu Dhabi Investment Authority (ADIA) has been broadening its interests in insurance coverage 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 likewise 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 deal, which values Ardonagh at $7.5 billion.
David Ross, Group CEO, discussed the news, “The recommitment of both HPS and MDP continues a collaboration that has actually assisted Ardonagh grow into a worldwide broking powerhouse. Connection of ownership after 6 years is the optimum outcome for us, allowing management to focus exclusively on the execution of our technique and the conservation of the unique Ardonagh culture. We are also happy to welcome HPS and MDP co-investors to the Group. Their worldwide, long-term ambitions are perfectly lined up with our own and those of our other investors, securing our goal of being a private enterprise for many years to come. Today is a major turning point in Ardonaghs journey and the accomplishment comes from our biggest property– every one of our individuals.”
Ardonagh has actually ended up being a leading 20 global insurance coverage broker, putting $13 billion of premiums across its organization and across the full spectrum of insurance coverage and reinsurance threats.
With 8,000 workers across 100 places the company 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 team, stated, “We have supported Ardonagh considering that the development of the Group and in that time, weve witnessed remarkable development and diversity. Ardonagh has sufficient 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 happy to be a crucial shareholder behind the Ardonagh labor force and look forward to our continued partnership, alongside HPS and our and their brand-new co-investors.”
Scot French, Governing Partner of HPS, included, “Throughout our multi-year relationship dating back to their first day at the Group, we have actually steadfastly supported the Ardonagh management teams vision to develop a best-in-class, global insurance coverage brokerage platform. We are excited to remain significant investors in the Group as they continue to perform on their growth method.”
Hamad Al Dhaheri, Executive Director, Private Equities Department, ADIA, also commented, “We are pleased to partner with Ardonagh, along with HPS and MDP, to support its strong management team in executing its international development strategy. This investment continues to develop on our strategy and performance history of purchasing market-leading organizations throughout the insurance coverage market worth chain.”
David Ross, Group CEO, commented on the news, “The recommitment of both HPS and MDP continues a collaboration that has helped Ardonagh grow into a global 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 reaffirming our commitment to continue supporting those efforts. We are happy to be an essential investor behind the Ardonagh labor force and look forward to our continued collaboration, alongside HPS and our and their brand-new co-investors.”