MMC in Talks to Acquire London-Based Benfield Group

August 13, 2002

Marsh & McLennan Cos. is currently in talks to purchase Benfield Greig Group PLC, a reinsurer based in London, for about $1 billion, according to a Dow Jones report.

By taking on privately held Benfield, New York-based Marsh & McLennan, would obtain the world's third-largest broker for reinsurance.

Benfield unveiled plans to go public earlier this year, and the company, which is owned by management, employees and several strategic investors, has a 5 percent to 10 percent share of the reinsurance market, depending on the line of coverage.

Benfield merged with brokerage firm Greig Fester in 1997, and acquired Dallas reinsurer E.W. Blanch Holdings Inc. in 2001.