Broking CEO says acquisition possible before Q4

Broking CEO says acquisition possible before Q4 | Insurance Business

Broking CEO says acquisition possible before Q4

The CEO of Arthur J Gallagher Australasia has spoken of the company’s interest in acquiring brokers to further grow the business.

This comes as the Australian broker reports a 21% jump in organic revenue for Q1 2013 on prior year, excluding acquisitions.

Australasia CEO Andrew Godden told Insurance Business the increase was due to investment in personnel and systems.

The group reported total brokerage and risk management revenues of US$606.1m, up 16%.

Godden said the Australian branch was keen to boost its presence in Queensland and Victoria and also on the acquisition trail.

“We are looking for like-minded people and businesses with the right cultural fit. We, like other brokers, are talking to all sorts of people,” he said. “Finding independent and non-aligned brokers is a challenge but we are talking to those brokers who are also interested in us. It is possible that we will have made a deal before Q4 – but we won't do anything for the sake of doing it.”

Highlighting trade credit, professional lines, and workers compensation as growth areas in the industry, Godden said: “It’s confusing and a bureaucratic challenge for the [workers compensation] buyer, with the six states and two territories. People can need a lot of help and that can come from specialist insurance professionals.”

He added: “The future for Gallagher in Australia is really exciting.  Corporately, the UK and America are very supportive of what we are doing here.”