The chief executive of Sky Insurance, a bank-owned insurance agency, said its acquisition of an outlet in Pittsburgh is part of a plan to grow the company to $90 million in revenue by 2007.

Sky said yesterday it had purchased Peter B. Burke Agency Inc., a full-service insurance agency specializing in property-casualty insurance and surety services since its founding by Peter Burke in 1995. Terms were not disclosed.

Jerry Batt, chief executive officer of Sky Insurance, a subsidiary of Sky Financial Group Inc., the holding company of Bowling Green, Ohio-based Sky Bank, told National Underwriter that the acquisition is small for Sky Insurance but contains “some nice young talent,” and the agency has enjoyed “friendly competition” with Sky over the years.

He said the six Burke employees will eventually be consolidated into Sky's network of over 400 employees and 22 locations.

“Peter B. Burke's expertise in property and casualty insurance as well as sureties will not only complement our existing business in Pittsburgh but it also provides us the opportunity to expand in a metropolitan growth market for Sky,” Mr. Batt said in a statement.

“Sky has been an active participant in the Pittsburgh market since its acquisition of Meyer & Eckenrode Insurance Agency in 2000, and the Peter Burke Agency has been a strong competitor that we identified some time ago as an attractive future partner,” he added.

While Sky is a young operation itself, founded in 1999, Mr. Batt said the Burke agency will join an insurance services company with current revenue of $60 million that aims to grow to $90 million in revenue by 2007. He said the operation has managed to double its revenue every two years since its founding.

The firm deals in property-casualty insurance, employee benefits, personal lines, professional liability, and some life and health, writing polices primarily in Ohio, Michigan and Pennsylvania.

Growth plans, he said, are to follow the footprint of Sky Bank ($15 billion in assets) and continue an acquisition strategy that saw five acquisitions last year–and an equal number are planned in 2006, Mr. Batt said.

Special Reports /

Sky Insurance Plans 5 Acquisitions In 2006

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