Marsh & McLennan Companies, Inc. (MMC - Free Report) recently announced that Marsh & McLennan Agency LLC (“MMA”) has entered into an agreement to buy Bouchard Insurance later this month. Terms of the transaction are not disclosed. MMA is a middle market agency subsidiary of Marsh, a subsidiary of the parent company.
Founded in 1948, Bouchard Insurance has offices across Clearwater, Fort Myers, Kissimmee, Maitland, Sarasota and Tampa with 260 employees. It caters to property/casualty, employee health & benefits and personal lines insurance needs of midsize businesses. It specializes in agribusiness, community associations, construction, education, healthcare, hospitality, staffing and social services industries.
Post closure, Bouchard will continue to operate from current office locations as Bouchard Insurance, a Marsh & McLennan Agency LLC company.
MMA is likely to be highly benefited by this acquisition as the transaction would help it expand its presence in Florida. Notably, Bouchard would be able to enrich customer experience and employee relations by joining the MMA team.
This is yet another strategic initiative of Marsh & McLennan to boost its portfolio and establish its presence in the United States. A number of acquisitions made over the past many years, significant capital expenditures undertaken for growth, launch of products and services, enhancement of digital capabilities and branching out into new businesses will further drive the company's growth.
Of late, the company completed significant buyouts such as Pavilion Financial Corporation, Summit Strategies Group, Otis-Magie Insurance Agency, Klein Agency and Insurance Associates, Houston-based Wortham Insurance plus Eustis Insurance & Benefits.
All these transactions further poise the company well for long-term growth.
Shares of this Zacks Rank #4 (Sell) company have inched up 0.2% in a year’s time against its industry’s decline of 5.6%.
Acquisition Spree in Insurance Space
Given the insurance industry’s all-time high available capital, there has been a spate of acquisitions in the space of late. Recently, Hull & Company, LLC, a subsidiary of Brown & Brown, Inc. (BRO - Free Report) bought Izzo Insurance Services. The acquisition will boost the acquirer’s workers compensation insurance solutions portfolio. Arthur J. Gallagher & Co. (AJG - Free Report) has acquired Interstate Insurance Underwriters to drive Risk Placement Services in northern Louisiana. Horace Mann Educators Corporation purchased Benefit Consultants Group to ramp up its strategic capabilities in the retirement market.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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