Onex to Acquire USI for $2.3 billion
November 26 2012 - 7:00AM
Marketwired
All amounts in U.S. dollars unless otherwise stated
Onex Corporation ("Onex") (TSX:OCX) today announced that it has
agreed to acquire USI, a leading U.S. provider of insurance
brokerage services, for $2.3 billion. The transaction is
anticipated to close by the end of 2012 subject to customary
conditions and regulatory approvals.
USI is a leader in the insurance brokerage market with a
diversified mix of property and casualty, employee benefits and
retirement consulting. Founded in 1994, USI is headquartered in
Briarcliff Manor, New York and has more than 3,300 employees in
approximately 100 offices across the United States. USI is ranked
as one of the ten largest insurance brokers in the United
States.
"USI has established a strong national insurance brokerage with
a very impressive management team led by Mike Sicard," said Robert
Le Blanc, an Onex Managing Director. "The company is well
positioned to continue to grow both organically and by building on
its track record of successful acquisitions."
"Our world-class brokers and investment in differentiating
client solutions have allowed us to continually strengthen our
market position by providing our clients with a level of value that
is unparalleled in the middle-market," commented Mike Sicard, Chief
Executive Officer of USI. "We look forward to our next phase of
growth in partnership with Onex."
The equity investment of approximately $700 million will be made
by Onex Partners III, in which Onex is a 25% limited partner; Onex
as a co-investor in the transaction; and USI's employees. Upon
closing, Onex, Onex Partners III and employees of USI will own 100%
of the company.
About Onex
With offices in Toronto, New York and London, Onex is one of the
oldest and most successful private equity firms. Onex acquires and
builds high-quality businesses in partnership with talented
management teams. The Company has approximately $14 billion of
assets under management, including $4.8 billion of proprietary
capital, in private equity, credit securities and real estate. Onex
invests its proprietary capital directly and as a substantial
limited partner in its Funds.
Onex' businesses have assets of $39 billion, generate annual
revenues of $34 billion and employ approximately 235,000 people
worldwide. Onex shares trade on the Toronto Stock Exchange under
the stock symbol OCX. For more information on Onex, visit its
website at www.onex.com.
The company's security filings can also be accessed at
www.sedar.com.
About USI
Founded in 1994, USI is the 9th largest insurance broker in the
United States and the 13th largest in the world. USI is
headquartered in Briarcliff Manor, NY, and operates out of
approximately 100 offices across the United States. Additional
information about USI may be found at www.usi.biz.
Forward-Looking Statements
This news release may contain forward-looking statements that
are based on management's current expectations and are subject to
known and unknown uncertainties and risks, which could cause actual
results to differ materially from those contemplated or implied by
such forward-looking statements. Onex is under no obligation to
update any forward-looking statements contained herein should
material facts change due to new information, future events or
otherwise.
Contacts: Onex Corporation Emma Thompson Vice President,
Investor Relations 416.362.7711 www.onex.com