Wachovia Corporation, the nation’s fourth largest bank holding company, has entered into a definitive agreement to acquire Palmer & Cay Inc., the 15th largest insurance brokerage and benefits consulting firm in the United States.
The 137-year-old Savannah-based Palmer & Cay has 950 employees and operates 34 offices in the District of Columbia and 22 states, primarily on the East Coast, and in the Midwest and Southwest.
Wachovia’s insurance division, Wachovia Insurance Services, will have more than $400 million in annual revenues and approximately 1,800 employees following the completion of the acquisition, making it one of the top 10 insurance brokerage firms in the nation.
As part of the transaction, John E. Cay III, chairman and chief executive officer of Palmer & Cay, will become chairman of Wachovia Insurance Services. McDowell will continue serving as president and chief executive officer, and Karen Lehman, chief financial officer of Wachovia Insurance Services, will oversee the division’s financial operations.