Arthur J. Gallagher, the Rolling Meadows, Ill.-based insurance broker, confirmed the previously announced acquisition of Jardine Lloyd Thompson Group plc’s (JLT) global aerospace operations was completed on June 1, 2019.
The addition of JLT’s global aerospace retail and wholesale insurance broking operations will significantly expand Gallagher’s existing aerospace team and firmly establish the company as one of the largest aviation brokers in the world, said Gallagher in a statement.
JLT and Marsh & McLennan Cos. decided to divest the aerospace division prior to Marsh’s acquisition of JLT in April in order to address potential competitive overlap identified by the European Commission, explained MMC in a statement in March.
Financial details of the transaction were not disclosed.
Gallagher noted that its expanded global aerospace operations now will have a specialist presence and offices in the UK, Continental Europe, North America, Latin America and Asia-Pacific. Alongside Gallagher’s existing aviation capabilities, the newly strengthened team will offer comprehensive products and services to clients spanning the entire aerospace industry, including airlines, aerospace manufacturers and infrastructure, general aviation and space.
Hayward Aviation, a specialist in general aviation – such as private jets and helicopters – which will expand its core strength in servicing clients in the UK and Continental Europe to provide global reach as part of Gallagher.
Gallagher said the 250-strong global aerospace team and its client base will transfer into Gallagher as part of the asset purchase agreement. JLT’s London market operations, Hayward Aviation and the teams in India, U.S. and Singapore will transition immediately. The remaining countries will move as part of a phased approach, in accordance with local employment and regulatory requirements, said Gallagher.
“The addition of JLT’s global aerospace operations to our existing aviation team propels Gallagher into a market leadership position within an industry that has seen huge growth over the past 20 years,” said Simon Matson, CEO of Gallagher’s UK Broking and Underwriting business.
“The way the aviation sector, along with other industries, thinks about risk is evolving,” Matson added. “It is no longer simply about the detection and containment of risk but rather applying strategic risk management practices to drive growth and face all future eventualities with confidence.”
Peter Elson, newly appointed CEO of Gallagher Aerospace, said: “Gallagher is the perfect home for our clients and for our people. The team is excited to be joining forces with a broker-led, specialist risk advisory firm that has earned a strong reputation for helping organisations to successfully navigate the increasingly complex risks they face. We look forward to being part of the Gallagher family and building on our existing momentum as the go-to insurance broking partner within the aviation world.”
Source: Arthur J. Gallagher
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