Aon Sells NFP Wealth Unit to Madison Dearborn for $2.7B

Aon has confirmed the sale of a majority stake in its NFP wealth unit to Madison Dearborn Partners for an estimated $2.7B. The transaction is expected to close at the deal's completion, with the insurance brokerage firm receiving after-tax cash proceeds. The sale marks a significant move by Aon to divest its wealth management business.

Aon has confirmed the sale of a majority stake in its NFP wealth unit to Madison Dearborn Partners for an estimated $2.7 billion. The transaction is expected to close at the deal's completion, with the insurance brokerage firm receiving after-tax cash proceeds of approximately $2.2 billion [1]. The sale marks a significant move by Aon to divest its wealth management business, allowing the company to focus on its core risk-capital and human-capital capabilities [2].

Madison Dearborn Partners, a Chicago-based private equity firm, will acquire NFP's wealth businesses, including Wealthspire Advisors, Fiducient Advisors, and Newport Private Wealth. The combined wealth businesses represent about $127 million in earnings before interest, taxes, depreciation, and amortization (EBITDA) for the 12 months ending June 30, 2025 [3]. The deal is expected to close in late Q4 2025, subject to customary closing conditions and regulatory approvals [4].

The sale will have a minimal impact on Aon's full-year 2025 earnings results, as the company expects the transaction to be non-material. Aon's CEO, Greg Case, stated that the deal reinforces the company's commitment to investing in its core capabilities and enables greater flexibility for high-return growth investments [2].

Madison Dearborn Partners, which has raised over $31 billion in capital and made more than 160 investments, has a strong track record in the financial services sector. The firm will bring the acquired businesses under one unified brand, led by Michael LaMena, the current CEO of Wealthspire Advisors, as CEO, and Carl Nelson, currently head of M&A for NFP, as President [2].

The transaction is being advised by UBS Investment Bank as lead financial advisor and Moelis & Company LLC, while Goldman Sachs & Co LLC is advising Madison Dearborn Partners. External legal counsel for Aon includes Skadden, Arps, Slate, Meagher & Flom LLP and Dentons, while Paul, Weiss, Rifkind, Wharton & Garrison LLP and Kirkland & Ellis, LLP are providing legal counsel for Madison Dearborn Partners [4].

References:
[1] https://www.morningstar.com/news/dow-jones/202509034243/aon-to-sell-bulk-of-nfp-wealth-business-back-to-madison-dearborn
[2] https://www.wealthmanagement.com/ria-news/pe-firm-madison-dearborn-to-buy-aons-wealthspire-most-wealth-business-for-2.7b
[3] https://www.reinsurancene.ws/aon-to-sell-majority-of-nfps-wealth-business-to-madison-dearborn-partners/
[4] https://www.morningstar.com/news/dow-jones/202509034243/aon-to-sell-bulk-of-nfp-wealth-business-back-to-madison-dearborn