(Reuters) – Acrisure said on Tuesday it had raised $725 million in a fresh funding round led by a wholly owned subsidiary of Abu Dhabi Investment Authority, valuing the insurance brokerage at $23 billion.
The company has benefited from a jump in global commercial insurance premiums that rose 11% on average in the first quarter, according to broker Marsh, with the war in Ukraine worsening pressure on rates.
The Michigan-based company, which offers financial, cyber as well as asset and wealth management services to its customers in insurance, reinsurance and real estate services, has grown its revenue from $38 million to $3.5 billion in the last eight years.
Acrisure plans to use the latest funding, supported by certain clients of Guggenheim Investments and Oak Hill Advisors, to increase brand awareness and invest in human and technological infrastructure, according to a statement. https://bwnews.pr/3z8yubK
Founded in 2005, the company was valued at $17.5 billion, including debt, in March this year when it raised $3 billion. https://bwnews.pr/3GxAfRC
Chief Executive Officer Greg Williams with a consortium of minority investors bought Acrisure in a $2.9 billion deal from private equity firm Genstart Capital in November 2016. https://prn.to/38zXwFT
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(Reporting by Mehnaz Yasmin in Bengaluru; Editing by Shinjini Ganguli)