Global insurance and reinsurance broking group Howden is reportedly in talks to acquire US insurance broker and risk management firm Risk Strategies, according to Bloomberg.
Talks regarding the acquisition of Risk Strategies, which is ultimately backed by private equity firm Kelso & Co., are ongoing, but sources familiar with the matter said there is no certainty a transaction will be completed.
Howden, a large brokerage backed by investors including General Atlantic, HgCapital, and Caisse de dépôt et placement du Québec, is led by CEO David Howden.
Acquiring Risk Strategies, a major privately held US broker, would fulfil Howden’s ambition to expand into the American retail market.
Representatives for Howden, General Atlantic and CDPQ declined to comment, Bloomberg stated. Risk Strategies, Hg, and Kelso also did not immediately respond to requests for comment.
These acquisition discussions highlight the latest consolidation effort in insurance brokerage, Bloomberg’s report noted.
The transaction talks follow recent deals such as Arthur J. Gallagher & Co.’s agreement to acquire AssuredPartners and Marsh McLennan’s purchase of McGriff Insurance Services.