Marsh McLennan dips after $7.75 bln deal to buy McGriff Insurance Services

Marsh & McLennan Companies

30/09/2024 15:11

** Shares of insurance brokerage Marsh McLennan  MMC.N  fall
as much as 0.8%, last down 0.4% at $223.16 in early trading
    ** MMC agrees to buy peer McGriff Insurance Services in a
$7.75 bln all-cash deal, bolstering its middle-market insurance
business
    ** The transaction, expected to close by year-end, struck
through its Marsh McLennan Agency business, which caters to
middle-market organizations in the U.S.
    ** Deal will boost unit's capabilities across commercial
property and casualty, employee benefits, management liability
and personal insurance lines 
    ** Founded in 1886, McGriff logged $1.3 bln in revenue for
the trailing twelve months ended June 30
    ** The transaction makes sense to us as it will further
expand its (Marsh McLennan's) successful middle-market insurance
business - Piper Sandler
    ** The deal will be funded by a combination of cash and
proceeds from debt financing
    ** As of last close, MMC up 18.2% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com;))