Kelso & Company Completes $9.83 Billion Sale of Accession Risk Management Group to Brown & Brown, Inc.

Kelso & Company has completed the sale of its portfolio company, Accession Risk Management Group, to Brown & Brown in a $9.83 billion primarily cash transaction. Under Kelso's ownership, Accession expanded significantly through organic growth and acquisitions, increasing revenue to $1.7 billion from $130 million. The sale unites two leading insurance distribution businesses and marks the end of a decade-long partnership between Kelso and Accession management.

Kelso & Company, L.P. has finalized the sale of its portfolio company, Accession Risk Management Group (Accession), to Brown & Brown, Inc. in a primarily cash transaction valued at approximately $9.83 billion. The sale marks the culmination of a decade-long partnership between Kelso and Accession management, during which Accession expanded significantly through both organic growth and more than 180 acquisitions, increasing revenue to $1.7 billion from $130 million [2].

Under Kelso’s ownership, Accession grew from a regional retail insurance broker to a premier national insurance distribution platform. The platform employs approximately 5,500 professionals and serves a diverse base of clients through its two subsidiary brands, Risk Strategies and One80 Intermediaries. Risk Strategies offers comprehensive risk management advice and insurance and reinsurance placement, while One80 has rapidly scaled to become a leading insurance wholesaler and program manager with offices in over 55 locations throughout the US and Canada [2].

The sale to Brown & Brown unites two leading insurance distribution businesses. Brown & Brown, a leading insurance brokerage firm, has a global presence with over 700 locations and a workforce of more than 23,000 professionals. The acquisition of Accession aligns with Brown & Brown's strategy of delivering scalable and innovative insurance solutions [1].

Brown & Brown has rebranded its wholesale, program, and related businesses as Arrowhead Intermediaries and is integrating One80 Intermediaries into the unit. The new entity will have 7,000 staff and place about $18 billion in premiums [3].

The sale to Brown & Brown represents one of the largest full private equity exits in insurance brokerage history. Advisors to the transaction included Evercore Inc. and Debevoise & Plimpton LLP [2].

References:
[1] https://www.ainvest.com/news/brown-brown-completes-9-825-billion-acquisition-rsc-topco-2508/
[2] https://www.stocktitan.net/news/BRO/kelso-company-completes-9-83-billion-sale-of-accession-risk-sas8po0lh3rx.html
[3] https://www.businessinsurance.com/brown-brown-reorganizes-wholesale-programs-business/