Gallagher buys stake in India-based brokerPosted On: May. 21, 2019 10:33 AM CST
Arthur J. Gallagher & Co. on Tuesday said it has purchased a minority stake in India-based Edelweiss Insurance Brokers Ltd., a subsidiary of financial services firm Edelweiss Group.
The deal is subject to approval by the Insurance Regulatory and Development Authority of India, Rolling Meadows, Illinois-based Gallagher said in a statement.
Edelweiss Insurance Brokers offers general insurance to institutional and individual clients across India, from its Mumbai headquarters and offices in Delhi, Kolkata and Bangalore, Gallagher said in a statement.
India’s growing commercial and specialty market is supported by strong demand for specialist coverages including renewable energy, infrastructure and cyber liability which aligns with Gallagher’s core brokerage offerings, the statement said.
"EIBL presents an exciting opportunity to expand Gallagher's commercial insurance footprint in India, in keeping with our growth strategy to invest in market-leading businesses that broaden our specialist capabilities and diversify our geographic presence," said J. Patrick Gallagher Jr., chairman, president and CEO.
Details of the investment have not been disclosed, pending regulatory approval, but it is a “significant stake” that represents “a commitment to long-term partnership,” said Vyvienne Wade, CEO of Gallagher’s overseas division.
Arthur J. Gallagher & Co. is the world’s fourth-largest insurance brokerage, according to Business Insurance’s latest ranking.