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 a global broking powerhouse. Ardonagh has ample opportunity to continue to construct on its platform and increase its reach and success, and by increasing our investment today we are declaring our commitment to continue supporting those efforts. We are happy to be a crucial shareholder behind the Ardonagh workforce and look forward to our continued collaboration, along with HPS and our and their new co-investors.”

The Ardonagh Group, a UK headquartered independent insurance coverage broking, maintenance, management and underwriting company and the owner of reinsurance broker Inver Re, has actually secured a major investment that values the firm at $7.5 billion.The institutional quality of the investment backing is a vote of self-confidence in the broking platform Ardonagh is constructing out, specifically given that its acquisition of the BGC insurance and reinsurance broking operations, including Corant Global and now its build-out of the Inver Re platform.
The company today announced a significant new equity financial investment, led by existing long-lasting shareholders Madison Dearborn Partners, LLC and HPS Investment Partners, together with brand-new co-investors through accounts managed by MDP and HPS, that consist of an entirely owned subsidiary of the Abu Dhabi Investment Authority (ADIA), and a number of other big worldwide institutions.
The Abu Dhabi Investment Authority (ADIA) has been expanding 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 also reinvest in the Group.
The co-investors, consisting of the ADIA subsidiary and other large international institutions, 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 collaboration that has actually assisted Ardonagh grow into a global broking powerhouse. Connection 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 distinct Ardonagh culture.
Ardonagh has actually ended up being a top 20 worldwide insurance broker, positioning $13 billion of premiums throughout its service and across the complete spectrum of insurance coverage and reinsurance threats.
With 8,000 employees across 100 places the company continues to grow also, especially 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, said, “We have actually supported Ardonagh given that the formation of the Group and in that time, weve experienced incredible growth and diversification. Ardonagh has sufficient opportunity to continue to develop on its platform and increase its reach and success, and by increasing our investment today we are reaffirming our dedication to continue supporting those efforts. We are happy 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 going back to their very first day at the Group, we have steadfastly supported the Ardonagh leadership teams vision to develop a best-in-class, international insurance brokerage platform. We are thrilled to remain significant financiers in the Group as they continue to perform on their growth technique.”
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 team in executing its worldwide development strategy. This financial investment continues to build on our technique and track record of buying market-leading companies throughout the insurance coverage market worth chain.”

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