Ardonagh to buy PSC for $1.5 billion
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The Ardonagh Group Ltd. said Wednesday it will acquire East Melbourne, Australia-based PSC Insurance Group Ltd. for A$6.19 in cash per PSC share in a deal valued at A$2.256 billion ($1.483 billion).
Ardonagh will merge PSC’s Australia and New Zealand operations with Envest Pty Ltd., which Ardonagh acquired in February 2023. Envest CEO Greg Mullins will oversee the combined operations.
PSC’s U.K. operations will be merged into Ardonagh Specialty and Ardonagh Advisory, the London-based broker said in a statement.
PSC, founded in 2006 by Chairman Paul Dwyer, has more than 40 brands and operations in Australia, the U.K., Ireland, Hong Kong, Vietnam, New Zealand and Bermuda employing 900 people. It has more than A$2.59 billion in global gross written premium.
Mr. Dwyer will join the Ardonagh senior management team upon completion of the deal.
Ardonagh places more than $15 billion of premium globally and operates in 30 countries, according to the statement.
The deal is subject to approval by PSC shareholders as well as court approval and includes certain circumstances in which a break fee of approximately A$22.6 million would be payable to Ardonagh, or a reverse break fee of approximately A$22.6 million would be payable to PSC.
