U.S.I. Acquires Diversified, Plans Further Buys
NU Online News Service, Jan. 8, 2:21 p.m. EST?U.S.I. Holdings Corporation said it has acquired Diversified Insurance Services Inc. of Chicago and it has reached its goal of acquiring properties with $25 million in revenues in 2003.[@@]
Further acquisitions are in the works for 2004, a company executive with the Briarcliff Manor, N.Y.-based brokerage firm said.
U.S.I. said Diversified, established in 1985, provides group and individual employee benefits to middle market clients.
"We had told the marketplace at the beginning of last year that we are going to target to acquire $25 million of revenues in 2003, and Diversified brings us to that level," said Ed Bowler, senior vice president of corporate development at U.S.I. Holdings. "We did six acquisitions in 2003. Now in 2004, our goal is to acquire at least 10 percent of our previous year's revenues, again, in the middle market and in our geographic niche," he told National Underwriter.
Mr. Bowler added: "We are executing on our acquisition strategy–I wouldn't say it's a buying spree."
Patrick Moore, president and chief executive officer of Diversified, will be named senior vice president and client manager for U.S.I. Insurance Services of Illinois.
U.S.I. said Diversified would be integrated with U.S.I.'s existing Chicago operation and is expected to contribute $800,000 in revenues over the next twelve months.
Earlier this week, U.S.I. announced an agreement in principal to acquire Los Angeles-based Dodge, Warren & Peters Insurance Services Inc. The acquisition is expected to be completed during the first quarter of the year.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.