Marsh, the insurance broker and risk advisor under Marsh McLennan, has announced its intention to acquire the complete outstanding share capital of Honan Insurance Group Pty Ltd, a specialized insurance broker focusing on corporate risk, employee benefits, and strata and real estate insurance.
The terms of the acquisition, scheduled for completion later in 2023 pending regulatory approvals, remain undisclosed, reports ReinsuranceNews.
Following the acquisition’s finalization, Andrew Fluitsma, CEO of Honan, will report to Nick Harris, CEO of Pacific, Marsh. The experienced management team and workforce at Honan are expected to enhance Marsh’s capabilities in the corporate sector.
In addition, the agreement confirms that global private equity firm TA Associates (TA) will retain an 80% ownership stake as the majority shareholder.
Nick Harris shared his thoughts on the acquisition, stating, “The addition of Honan’s highly complementary capabilities, particularly in corporate risk and strata insurance, will enable Marsh to deepen the specialist expertise we provide to clients across Australia and New Zealand, and support them in managing the risks they now face. We have the highest regard for the management and team at Honan and, together, we will provide a best-in-class suite of solutions to our clients. We look forward to welcoming Andrew and his team to Marsh.”
Established in 1964, Honan has established its presence across Australia, New Zealand, and Asia, with its headquarters located in Melbourne. The company excels in corporate risk advisory and employee benefits, offering specialized services in strata and real estate insurance. This includes residential, commercial, industrial, and build-to-rent advice to significant residential buildings, agents, and landlords in Australia and New Zealand.
Andrew Fluitsma concluded by emphasizing the benefits of the transaction for clients and staff alike. “With the support of TA over the last three years, Honan has undergone a period of accelerated growth, completing several acquisitions and increasing revenue and profitability. I look forward to building on our joint dedication to innovation and excellent client service, while supporting colleagues in their career development, and contributing to their continued success. The senior leadership team at Honan are committed to this exciting next phase of growth within Marsh.”
This acquisition signals a strategic move by Marsh to expand its reach and enhance its service offerings in the insurance and risk advisory sector, ultimately benefiting both clients and employees.
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