AUB Group today announced the acquisition of the remaining 50 per cent shareholding of BrokerWeb Risk Services (BWRS), bringing AUB NZ’s shareholding to 100 per cent, effective 1 January 2019.
BWRS is one of New Zealand’s largest insurance brokers, with NZ$150 million in gross written premium (GWP).
“Strategic acquisitions across Australia and New Zealand continue to form a key element of AUB Group’s diversified growth model, whereby organic growth is complemented by acquisitions that demonstrate strong strategic and cultural alignment,” AUB Group CEO and managing director Mark Searles, said.
“BWRS is a leading insurance broker with immense opportunity, and is an ideal fit for our unique ‘skin in the game’ partnership model.”
AUB NZ purchased 50 per cent of BWRS in November 2014. Today’s announcement follows the group’s $116 million capital raise in November, which also saw the announcement of an increased shareholding in Adroit Insurance & Risk. The Group has now committed over $67 million to acquisitions in the current financial year.
A key employee shareholding structure will be implemented at BWRS, enabling its leadership team to have ‘skin in the game’ and creating alignment with AUB Group shareholders.
As part of this acquisition, David Archer – founder and CEO – will step down from his role. Recruitment for a new CEO is underway, and Mr Archer will remain active in the business for a suitable period to ensure a smooth transition.
Discussing the announcement, AUB NZ managing director Keith McIvor said BWRS has had a very successful few years, thanks to the leadership of David Archer and his executive team.
“We thank David for his ongoing support since the first 50 per cent acquisition in November 2014, and for his hard work in establishing a strong leadership team and business strategy to take BWRS forward.”
BWRS CEO David Archer said the insurance broker is now very well placed to continue its strong momentum of growth.
“I look forward to supporting the BWRS team during this transition, and to seeing the firm continue to strengthen, with all the advantages of the AUB partner network,” he said.
Over the past five and a half years, AUB Group has completed 39 transactions totalling $199 million (excluding BWRS).