Insurance Wholesaler AmWINS in $1.3B Recapitalization Deal

April 17 (Reuters) - AmWINS Group Inc, the largest wholesale insurance broker in the United States by premiums placed, said it reached an agreement with private equity company New Mountain Capital for a $1.3 billion recapitalization.

The deal will end AmWINS' relationship with buyout firm Parthenon Capital Partners LLC, which had bought a majority stake in the company in 2005.

Last month, Reuters had reported that Parthenon and AmWINS management, who jointly own the company, were looking for buyers and expecting a valuation of about $1.5 billion.

Alok Singh, Managing Director of New Mountain, said the firm was in talks with AmWINS' management for over a year.

Employee shareholders will continue to own more than 30 percent of the company's equity, which is valued at over $160 million, after the recapitalization, the company said in a statement.

The Charlotte, North Carolina-based company, which withdrew a proposed initial public offering in 2007, has grown aggressively through acquisitions and currently handles over $7 billion in annual premiums.

Financial Technology Partners, Goldman Sachs and Willis Capital Markets & Advisory acted as financial advisers to AmWINS. Credit Suisse and Macquarie Capital advised New Mountain.

Comments

Resource Center

View All »

Making Coverage Letters Work for Your Clients

If you're a broker or insurance buyer with any length of service in the commercial...

Complimentary White Paper: The Compression of Workplace Time

How brokers and carriers respond to the compression of workplace time will create significant competitive...

The Changing Insurance Consumer: 6 Ways to Create Profitable Relationships

Today’s mobile and web-savvy consumers have new expectations when it comes to interacting with your...

Contractors General Liability Coverage 102

What is a prior work exclusion? Which option is right for my client? Why do...

Sign up today to get a 50% matching credit -...

Insurance marketing sometimes seems like it's a game of swings and misses, but we're here...

Guide: 5 Steps to Selling Cyber

Cyber risk and data security is on the agenda of every business owner and executive....

Citation Correlation

Do rigger and signalperson qualifications correlate with the cause of crane and rigging accidents? ...

Complete Guide to Electronic Signatures in Property & Casualty Insurance...

In property and casualty insurance, closing new business quickly is key. Learn how to leverage...

INSTANT ACCESS: Complimentary Sales Closer Questionnaires

Help property owners or managers compare your commercial residential property insurance coverage vs. the competition....

Determining Vacant Property Perils and Valuations

Are your clients fully covered for Vacant Properties? In this economic climate, your insureds may...

PropertyCasualty360 Daily eNews

Get P&C insurance news to stay ahead of the competition in one concise format - FREE. Sign Up Now!

Advertisement. Closing in 15 seconds.