Broker network snaps up majority stake in authorised representative network

Broker network snaps up majority stake in authorised representative network

Broker network snaps up majority stake in authorised representative network Steadfast Group has bought a 72.3% stake in authorised representative network Ausure Group, including Hollard's minority share.

Management and associates of Ausure hold the remainder.

Steadfast hopes the acquisition will have the effect of attracting smaller brokers into the fold.

Ausure, which has a normalised FY15 forecast EBITA of approximately $4m, has been working with Steadfast members for the past two years. Managing director Troy Brown said this period of cooperation had shown the value Steadfast can bring to the business.

“The Steadfast Virtual Underwriting (SVU) system alone has dramatically improved the productivity of several parts of our business and we are excited about its future potential to improve our business," he said.

Brown said he expected that the Steadfast acquisition would accelerate growth initiatives.

Ausure had been a Hollard business partner since 2006. Brown said he wanted to thank the staff and owners of Hollard Insurance for their dedicated effort and unwavering support over the past six years.

"They have helped Wayne, Trent and I take a few ideas and create one of Australia’s leading diversified broking businesses. They were a crucial part of the Ausure team that helped us get to where we are today.”

Robert Kelly, MD & CEO of Steadfast, said: “We are excited to partner with Ausure and believe its AR network provides Steadfast with an opportunity to attract smaller brokers into our fold.

Ausure has a history of delivering increasing value for its brokers and other stakeholders and we look forward to helping their network build on this.”