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Insurance brokerage Acrisure closes on $725 million equity raise COURTESY PHOTO

Insurance brokerage Acrisure closes on $725 million equity raise

BY Tuesday, May 31, 2022 04:28pm

Grand Rapids-based insurance brokerage and fintech Acrisure LLC has closed on a $725 million equity raise that will fund further global expansion.

The preferred equity offering valued Acrisure at $23 billion. The company said the proceeds from the offering will enable Acrisure to “continue pursuing value-accretive acquisitions, grow its tech-enabled solutions, increase marketing and brand awareness, and invest in human and technological infrastructure to support industry leading growth.”

A wholly owned subsidiary of the Abu Dhabi Investment Authority led the round and was joined by Guggenheim Investments on behalf of certain clients and Oak Hill Advisors, the company said.

“This investment is a testament to our strategic direction and ability to innovate and adapt to the needs of our customers,” co-founder, CEO and President Greg Williams said in an announcement. “We are thrilled to partner with ADIA and OHA, premier, globally recognized investment institutions, and continue our work with Guggenheim. This transaction reaffirms how the market, and our partners, value the strength of our performance and trajectory for future growth.”

Acrisure’s products include insurance, real estate and cyber services, and asset and wealth management. The company has grown revenue from $38 million to more than $3.5 billion in a little more than eight years and has locations throughout the world.

The company for years has been the top acquirer in North America of insurance agencies and closed more than 130 deals in 2021.

Since 2018, Acrisure has closed on 443 acquisitions, including 14 in the first quarter of 2022, according to Optis Partners LLC, a Chicago firm that tracks M&A in the insurance brokerage industry.

“Acrisure has grown at a rapid pace to become one of the world’s leading insurance brokers, and our investment aims to support the company as it continues to execute on its strategy,” said Hamad Shahwan Aldhaheri, executive director of the private equities department at the Abu Dhabi Investment Authority. “This transaction adds to our extensive portfolio of investments across the insurance industry value chain, a large and attractive market backed by long term growth trends.”

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