Arthur J. Gallagher & Co, the US parent of UK firm Gallagher Employee Benefits, has acquired commercial insurance broker Oval for £199m.
Gallagher says the deal, which was announced to the New York Stock Exchange today, will strengthen its footprint in the UK.
Oval chief executive Peter Blanc will lead Gallagher’s combined UK retail division, and Oval’s benefits and wealth management business will become part of Gallagher’s UK-based benefit and consulting specialist operations, led by Tim Johnson.
Arthur J. Gallagher & Co. chief executive J. Patrick Gallagher says: “Oval will significantly expand our retail distribution and firmly positions Gallagher as a top three UK retail commercial broker operating from 70 locations. Our combined operations will also make us the largest retail broker in several key UK locations.
“With the addition of over 1,000 Oval associates, we will add extensive expertise and experience to our upper and middle-market client capabilities.”
Blanc adds: “I’m incredibly excited at the prospect of harnessing the combined strength of Oval and Arthur J. Gallagher for the benefit of all of our clients spread across the UK.
“Together, we expect to deliver unparalleled service and expertise in the ever changing insurance brokerage marketplace and continue our common strategies of growing organically and through complementary mergers.”