The private equity firm Kohlberg & Co. L.L.C. defied conventional wisdom by entering the mergers and acquisition picture last week acquiring a majority of the stock of Risk Strategies Co. (RSC), a national insurance and risk management brokerage firm based in Boston.
Terms of the transaction were not disclosed.
Privately held RSC is a P&C and Employee Benefits insurance broker with a focus on middle market and upper-middle market commercial and high-net-worth clients. Its expertise includes manufacturing, construction, social service, healthcare, higher education, private equity, private client and real estate. The firm has 10 offices around the U.S. consisting of 190 employees, 70 of whom are in Boston and Randolph, Mass.
Joining RSC as Executive Chairman is Roger E. Egan, a founder of the insurance brokerage firm Integro and one time president of Marsh.
The transaction would appear to buck a trend among private equity firms. Reflecting on a recent major acquisition by Brown & Brown, Phil Trem, vice president of M&A for the agency consulting firm MarshBerry notes that private equity may be more inclined to cash-in on past deals instead of making them.
Guy Carpenter Acquires Maine Consultant
A major brokerage firm that has not been a major acquisition player is reinsurance broker Guy Carpenter & Co. LLC. Earlier this week, the firm says it acquired South Portland, Maine-based Smith Group, a disability reinsurance risk manager and consultant. The firm will continue to operate out of South Portland. Its employees have extensive experience in the areas of actuarial science, market research and risk management.
HUB Continues Expansion in U.S. And Canada
In June and early July, Chicago-based insurance broker Hub International says it has made six acquisitions in the U.S. and Canada. The acquisitions include:
• Insurance broker The Dorsey Group Inc. in Brantford, Ontario, Canada.
• Insurance broker Southeastern Insurance Services Ltd. in Steinbach, Manitoba, Canada.
• Ger-Win Enterprises, Ltd. and St. Andrews Insurance Ltd. (Ger-Win), based in Manitoba.
• Nunavut Insurance Brokers Ltd., a full-service insurance brokerage firm operating in the Canadian territories of Nunavut and Northwest Territories.
• The commercial and personal lines book of Lottie Chan, who joined Hub HKMB as a Vice President.
• Full service insurance broker Beartooth Insurance Inc. with offices in Red Lodge and Absarokee, Mont.
Confie Seguros Expands New York Presence
Building out its geographic footprint in New York State, Confie Seguros says it acquired CW Baker Insurance Agency and Lewiston Insurance Agency, two providers of standard and preferred personal insurance located in upstate New York near Niagara Falls.
Founded in 1928, Baker Insurance in Lockport, N.Y. provides personal and commercial lines insurance. Lewiston Insurance Agency in Lewiston, N.Y., is a full-service, agency, specializing in P&C insurance for personal and business accounts, including municipalities.
Higginbotham Acquires Dallas Broker
In early June, the Dallas office of Ft. Worth, Texas-based insurance broker Higginbotham says it acquired the Sawyer Insurance Agency.
Founded in 1975 by Mike Sawyer, the firm provides personal and commercial coverage to 1,900 clients owning property in the U.S. and other countries. At Higginbotham, Sawyer will retain current clientele and focus his group’s practice on producing personal home, auto and liability accounts.