Arthur J. Gallagher & Co. (NYSE: AJG) is set to buy insurance broker Blue Holdings Pty Ltd. for an undisclosed price.
The Itasca, Illinois-based buyer already has operations in 30 countries and offers client-service capabilities in more than 140 countries around the world through a network of correspondent brokers and consultants. By acquiring Blue Holdings, Arthur J. Gallagher expands the company's footprint into Australia, according to CEO J. Patrick Gallagher Jr.
Blue Holdings, based in Brisbane, Queensland, provides retail property/casualty and insolvency insurance products and services primarily for its middle-market clients throughout Australia. They also specialize in coverage plans for the construction, transportation, engineering, mining and various professional services sectors.
The target company's chief executive, Richard Smith, will continue to run the company. Blue Holdings has offices across Australia, in Brisbane, Perth, Sydney, Melbourne and Townsville locations under the direction of Andrew Godden, head of Gallagher's Australian brokerage operation. (Image: Arthur J Gallagher & Co. corporate headquarters in Itasca, Illinois.)
The transaction is the latest example in what is a continuing consolidation of the insurance industry. For the latest coverage, see AssuredPartners Acquires Baronsmead.