AJG Adds Bergvall Marine - Analyst Blog
In its continuing effort to ramp up its inorganic growth
Arthur J. Gallagher & Co
) acquired Bergvall Marine for an undisclosed amount.
Based in Oslo, Norway and founded in 1896, Bergvall Marine, with annualized revenue of $5 million, offers marine insurance products and risk management insurance services across the globe.
Addition of Bergvall Marine to Arthur J. Gallagher & Co.'s portfolio will consolidate the latter's foothold in marine insurance, besides adding to international capabilities.
The latest buyout marks sixth acquisition in the quarter to date. Last month, Arthur J. Gallagher & Co. closed the Giles acquisition along with Addison, Texas based Employee Benefits Analysis Corporation and The Parks Johnson Agency based in Lake City, Florida.
Arthur J. Gallagher & Co. has been consistently following the inorganic path to ramp up its growth profile. The company closed eight acquisitions with annualized revenues totaling $135.5 million. The company's strong financial position continues to support its robust acquisition strategy.
Among other insurance brokers, Brown & Brown of Kentucky Inc. a subsidiary of Brown & Brown Inc . ( BRO ) has agreed to acquire selected assets of O'Neil Financial Services, Agency Services Consolidated Inc. as well as certain assets of Preserve Extended Protection Plan Inc. in December. Yet Marsh & McLennan Agency LLC (MMA), a subsidiary of insurance broker Marsh & McLennan Companies, Inc . ( MMC ), announced the acquisition of Cambridge Property & Casualty, one of the largest property/casualty insurance agencies in Michigan in the same month.
There was no earnings momentum over the last 7 days. With optimism over Arthur J. Gallagher & Co.'s solid inorganic story, we expect analysts to pull their estimates, exerting upward pressure on the Zacks Rank. Arthur J. Gallagher & Co. presently carries a Zacks Rank #3 (Hold).
In the insurance space, multi-line insurer Enstar Group Limited ( ESGR ) with Stone Point Capital jointly announced the acquisition of Atrium Underwriting Group Ltd. from Arden Holdings Ltd for $158 million.
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