Skyward Specialty Insurance to Acquire Apollo Group Holdings for $555 Million

Skyward Specialty Insurance Group has agreed to acquire Apollo Group Holdings for $555 million. The acquisition is subject to regulatory approvals and is expected to close in the first half of 2023. Apollo Group Holdings provides specialty insurance products and services to commercial and personal customers.

Skyward Specialty Insurance Group, Inc.® (Nasdaq: SKWD) has announced its intention to acquire Apollo Group Holdings Limited for a total consideration of $555 million. The acquisition is subject to regulatory approvals and is expected to close in the first half of 2026. Apollo Group Holdings provides specialty insurance products and services to commercial and personal customers.

The acquisition aligns well with Skyward Specialty’s strategy, bringing new specialty niches and a distinctive new economy offering. Apollo Group Holdings has grown its gross written premium at a compound annual growth rate of approximately 20% since its formation in 2010. Through Syndicate 1969, Apollo underwrites a multi-class specialty insurance portfolio, while Syndicate 1971, known as Apollo ibott, delivers a unique platform liability product for the digital and sharing economy. The transaction is expected to deliver double-digit adjusted operating EPS accretion in the first full year post-acquisition.

Skyward Specialty Chairman and CEO Andrew Robinson commented, “We are delighted to reach an agreement to acquire Apollo. Their underwriting leadership and unique market positioning are exceptionally well-matched to Skyward Specialty’s strengths and vision. Apollo’s Syndicate 1969 will provide access to attractive and hard-to-reach specialty classes, while Syndicate 1971 will further enhance our portfolio with unique and innovative solutions designed for new economy industries.”

The acquisition is expected to add more than $1.5 billion of managed premium to Skyward Specialty, reinforcing its position as a leader in U.S. specialty markets. The transaction will also bring Apollo’s advanced technology capabilities to Skyward Specialty, accelerating innovation and growth.

Barclays acted as financial advisor to Skyward Specialty and provided committed financing for the transaction, while Evercore acted as lead financial advisor to Apollo. Willkie Farr & Gallagher LLP acted as legal counsel to Apollo.

References:
[1] https://www.ainvest.com/news/rpc-shares-rise-1-57-hours-skyward-specialty-insurance-group-acquires-apollo-group-holdings-2509/
[2] https://www.citybiz.co/article/738906/skyward-specialty-insurance-group-to-acquire-apollo-group-holdings/