14 November 2013 Insurance

Gallagher closes its transaction to acquire Giles

Arthur J. Gallagher has closed its transaction to acquire the Giles group of companies in a deal that vastly expands its UK geographic footprint and diversifies its underwriting expertise.

Expected to generate over £90 million across its operating units in annualised revenue in 2014, the transaction strengthens the underwriting and broking operations, while delivering increased distribution via the new channel of broker networks.

With the combined entity expected to create a top three UK retail broker, Brendan McManus – formerly chief executive officer of Giles – has been appointed CEO of UK Retail with immediate effect. Successful integration of the two businesses will now be top priority and McManus will also sit on the International Executive, led by Arthur J. Gallagher International CEO David Ross. Niche retail strengths include transportation, health and social care, and professional indemnity.

Ink Insurance, Giles’ underwriting unit, offers a strong strategic fit with Arthur J. Gallagher’s own underwriting operation, OIM Underwriting, and immediately extends its range of specialist lines into motor trade, motor fleet and solicitors’ professional indemnity. The networks division meanwhile – Compass Broker Services, incorporating Westinsure – brings a combined membership of 200 network brokers and an entirely new growth proposition to Arthur J. Gallagher.

“While it feels great to have completed our largest ever deal here in the UK, the hard work really starts now. With the acquisition of Giles comes a huge acceleration of our UK retail ambitions, as well as outstanding growth prospects for our underwriting operation. We will work tirelessly to bring the various divisions of the two businesses together and the successful integration of Giles within Arthur J. Gallagher will be our number one priority,” said Ross.

“Brendan has made a huge difference to the Giles business over the past 18 months and his experience and strong leadership will give us just the focus we need at such a critical time to drive forward what is now one of the largest retail businesses in the UK.”

Already registered?

Login to your account

To request a FREE 2-week trial subscription, please signup.
NOTE - this can take up to 48hrs to be approved.

Two Weeks Free Trial

For multi-user price options, or to check if your company has an existing subscription that we can add you to for FREE, please email Elliot Field at efield@newtonmedia.co.uk or Adrian Tapping at atapping@newtonmedia.co.uk