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Marsh and McLennan Companies Closes Acquisition of Jardine Lloyd Thompson
Tuesday 02 April 2019

2 April 2019 - US-based professional services firm Marsh and McLennan Companies, Inc. (NYSE: MMC) has closed its acquisition of UK-based insurance, reinsurance and employee benefits related advice, brokerage and associated services provider Jardine Lloyd Thompson Group plc (LSE: JLT), the firm said.

Under the terms of the transaction, holders of JLT's common shares will receive cash consideration of GBP 19.15 per share. Total cash consideration equates to USD 5.6bn in fully diluted equity value, or an estimated enterprise value of USD 6.4bn.

The transaction will be funded by a combination of cash on hand and proceeds from debt financing.

Following completion of the transaction, Burke, Group chief executive of JLT, will join MMC as vice chairman and serve as a member of MMC's Executive Committee.

JLT was created in 1997 when Jardine Insurance Brokers plc, which was formed almost 50 years ago, merged with Lloyd Thompson Group plc.

The firm now operates in 40 countries with particular strength in the UK and Australia as well as in key emerging markets across Asia and Latin America.

Through its Specialty business, JLT provides risk and insurance broking advice to energy, mining, healthcare, construction, marine, and aerospace sectors as well as in financial lines, political risk and trade credit.

JLT Re delivers world class risk analysis and risk transfer solutions to its insurer clients across all classes of treaty and facultative reinsurance.

JLT's Employee Benefits team acts as advisors, brokers and service providers in the areas of pensions consultancy and administration, employee benefits and wellness, life insurance, and wealth management.

The acquisition of JLT accelerates MMC's strategy to be the preeminent global firm in the areas of risk, strategy and people. JLT's track record of strong organic growth and attractive geographic diversification enhance MMC's ability to accelerate growth and margin expansion across products and geographies.

Goldman Sachs acted as financial advisor and Slaughter and May and Wachtell, Lipton, Rosen and Katz acted as external legal counsel to MMC. J.P. Morgan Chase served as financial advisor, and Clifford Chance Rogers and Wells served as external legal counsel to JLT.
Date Published: 02/04/2019
Target: Jardine Lloyd Thompson Group
Country: UK
Deal Size: 5.6bn (USD)
Sector: Insurance
Type: LBO
Financing: Cash
Status: Closed
Buyer: Marsh and McLennan Companies
Buyer Advisor: Goldman Sachs , Slaughter and May and Wachtell, Lipton, Rosen and Katz