Marsh subsidiary Marsh & McLennan Agency has bought J. Smith Lanier & Co, founded in 1868, for an undisclosed sum. The addition adds more than $130 million in revenues to the firm, and expands its footprint by 21 offices across the South of the US and more than 600 staff.
Marsh & McLennan Agency (MMA) is a US-based mid-market risk prevention consultancy and insurance broker. The firm, which is a subsidiary of Marsh, is the 12th largest insurance broker in the US, with revenues of approximately $900 million. The firm is focused on the SME market, offering advice, solutions, and programmes to companies that tend to fall outside the services scope of the "big firms".
The acquisition of J. Smith Lanier & Co* (JSL) considerably expands MMA's presence in the US mid-market, with the 600 employees generating revenues of approximately $130 million, across 21 offices in Georgia, Alabama, Kentucky, Tennessee, and Florida. The value of the deal, which is expected to close during this quarter, has not been disclosed.
The acquisition will come under the operational management of MMA's Southeast regional hub, and will be led by JSL's CEO, D. Gaines Lanier, and COO, Gary Ivey. Lanier will report to David Eslick, Chairman and CEO of Marsh & McLennan Agency.
Peter Zaffino, CEO of Marsh, describes J. Smith Lanier as "one of the preeminent middle market insurance agencies" in the US, adding that the deal marks a "terrific addition" to MMA's capabilities and geographic footprint.
MMA has a history of inorganic expansion, including the recent additions of several mid-market firms, including Aviation Solutions, Corporate Consulting Services, Celedinas Insurance Group and Benefits Advisory Group.
* The mid-market insurance firm is one of the oldest in the US, tracing its roots to 1868.