Onex to Acquire USI for $2.3 billion
One of the Largest U.S. Insurance Brokers
TORONTO, ONTARIO -- (Marketwire) -- 11/26/12 --
All amounts in U.S. dollars unless otherwise stated
Onex Corporation ("Onex") (TSX:OCX) today announced that it has
agreed to acquire USI, a leading U.S. provider of insurance brokerage
services, for $2.3 billion. The transaction is anticipated to close
by the end of 2012 subject to customary conditions and regulatory
USI is a leader in the insurance brokerage market with a diversified
mix of property and casualty, employee benefits and retirement
consulting. Founded in 1994, USI is headquartered in Briarcliff
Manor, New York and has more than 3,300 employees in approximately
100 offices across the United States. USI is ranked as one of the ten
largest insurance brokers in the United States.
"USI has established a strong national insurance brokerage with a
very impressive management team led by Mike Sicard," said Robert Le
Blanc, an Onex Managing Director. "The company is well positioned to
continue to grow both organically and by building on its track record
of successful acquisitions."
"Our world-class brokers and investment in differentiating client
solutions have allowed us to continually strengthen our market
position by providing our clients with a level of value that is
unparalleled in the middle-market," commented Mike Sicard, Chief
Executive Officer of USI. "We look forward to our next phase of
growth in partnership with Onex."
The equity investment of approximately $700 million will be made by
Onex Partners III, in which Onex is a 25% limited partner; Onex as a
co-investor in the transaction; and USI's employees. Upon closing,
Onex, Onex Partners III and employees of USI will own 100% of the
With offices in Toronto, New York and London, Onex is one of the
oldest and most successful private equity firms. Onex acquires and
builds high-quality businesses in partnership with talented
management teams. The Company has approximately $14 billion of assets
under management, including $4.8 billion of proprietary capital, in
private equity, credit securities and real estate. Onex invests its
proprietary capital directly and as a substantial limited partner in
Onex' businesses have assets of $39 billion, generate annual revenues
of $34 billion and employ approximately 235,000 people worldwide.
Onex shares trade on the Toronto Stock Exchange under the stock
symbol OCX. For more information on Onex, visit its website at
The company's security filings can also be accessed at www.sedar.com.
Founded in 1994, USI is the 9th largest insurance broker in the
United States and the 13th largest in the world. USI is headquartered
in Briarcliff Manor, NY, and operates out of approximately 100
offices across the United States. Additional information about USI
may be found at www.usi.biz.
This news release may contain forward-looking statements that are
based on management's current expectations and are subject to known
and unknown uncertainties and risks, which could cause actual results
to differ materially from those contemplated or implied by such
forward-looking statements. Onex is under no obligation to update any
forward-looking statements contained herein should material facts
change due to new information, future events or otherwise.
Vice President, Investor Relations
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