Insurance broker Aon is reportedly close to a $17 billion acquisition of USI, a brokerage and consulting firm currently owned by private-equity firm KKR.
Key facts
- •The proposed transaction is valued at approximately $17 billion, including debt.
- •USI specializes in risk management, employee benefits, and retirement consulting.
- •KKR has been the largest shareholder of USI since 2023.
- •Aon aims to use the acquisition to reach midsize businesses and increase earnings per share by 2028.
- •Aon reported second-quarter adjusted earnings of $3.81 per share on July 29.
Aon is nearing a deal to acquire insurance brokerage USI from private-equity firm KKR for approximately $17 billion, including debt. The agreement could be announced as early as Monday, according to reports citing people familiar with the matter.
By the numbers
Company Background and Strategic Goals
USI, based in Valhalla, N.Y., provides services in risk management, employee benefits, and retirement consulting, generating about $3 billion in annual revenue. KKR acquired USI from Onex in 2017 and became its largest shareholder in 2023. For Aon, which holds a market capitalization of $75 billion, the acquisition is intended to expand its presence among midsize businesses. The deal is expected to boost Aon's earnings per share by 2028.
KKR Divestment Activity
The potential sale of USI follows a series of exits for KKR, including the divestment of CoolIT and the commercial and defense aerospace business of Circor earlier this year. KKR reported a record $1.29 billion in asset sales for the quarter ending in June.
Advertisement
This article was independently rewritten by ManyPress editorial AI from reporting originally published by CNBC Europe.
