Sica Fletcher

OCTOBER 23, 2024

It also opens the door for savvy buyers to talk them out of millions of dollars when it comes time for negotiations. This trend emerges in stark contrast to most other industries in M&A, where equity has increased YoY over the last decade. Learn more at SicaFletcher.com.

Valuation 52

Valuation M&A Insurance Advisory 52

Sica Fletcher

JULY 31, 2024

With such a high level of competition, they face the double-edged sword of higher overall valuations vs. a relatively smaller initial payout as equity becomes an increasingly larger percentage of buyer offers. Although sellers are in a good position to sell, they need to be wary of the equity that’s being offered.

M&A 52

M&A Insurance Debt Equities 52

Sica Fletcher

APRIL 30, 2024

That amount is trickier, often subject to negotiation and various deal structures consisting of cash vs. equity and post-closing consulting/employment agreements. Our teams know how to value an insurance agency and can handle the process for you from start to finish, ensuring that your agency gets the best possible payout upon closing.

Insurance 52

Insurance Valuation M&A S&P 52

Sica Fletcher

JUNE 11, 2024

Whereas 2022 saw equity making up nearly 17.5% As long as buyers face higher interest rates, sellers should expect a prolonged deal process contending with complex capital structures and equity-based negotiations. the freedom of brokers to work with a variety of carriers, and c.) as of H1 2024.

Broker 52

Broker Insurance Valuation S&P 52

Sica Fletcher

JULY 23, 2024

This means that they often lack the specialized industry knowledge to effectively negotiate your deal. On average, modern deal structures typically consist of about 75% equity, with only 25% in actual cash. Consult data sources like S&P Global data to get an idea of a firm’s activity within the industry.

Insurance 52

Insurance M&A S&P Valuation 52

Sica Fletcher

JUNE 20, 2024

The History of Private Equity in Insurance One of the primary forces differentiating the insurance M&A market in 2024 from those of decades past is the presence and dominance of private equity (PE) firms in the buyer space. We’ve seen this number jump even in the last two years, with the percentage of equity almost doubling.

M&A 52

M&A Insurance Valuation Equities 52

Sica Fletcher

MARCH 26, 2024

This usually leads to equity-based payouts. private equity firms, investment banks, individual investors). For example, a private equity firm LOI might state that it plans to roll up your agency with others and resell them all several years later. Your attorney, in particular, should take the lead on final negotiations.

M&A 52

M&A Insurance Valuation Advisory 52

Sica Fletcher

MARCH 10, 2020

As of today, there are at least 30 private equity sponsored brokers who are actively searching for acquisitions, plus other strategic players. Sica | Fletcher has the best network of strategic buyers and private equity clients in the country and has closed well over 250 transactions over the last three years.

Private Equity 52

Private Equity Insurance Business Equities 52

Sica Fletcher

MAY 15, 2024

That number is often complicated by what percentage of your payout is cash vs. equity, the timeline in which it is paid out, and additional considerations like post-closing employment agreements or milestone earnouts. How Much Is My Insurance Agency Worth?” Learn more at SicaFletcher.com.

Insurance 52

Insurance M&A S&P Valuation 52

Sica Fletcher

SEPTEMBER 12, 2024

Inter-family loans, unpaid salaries, or shared equity structures may complicate future sales. Changes in Final Negotiations Following the buyer’s due diligence, their teams will meet with your advisors to discuss the contract’s final terms. Family-specific financial arrangements. Learn more at SicaFletcher.com.

Insurance 52

Insurance Valuation M&A S&P 52

Sica Fletcher

MARCH 12, 2024

For the most part, the market consists of many small to midsize agencies that make prime candidates for roll-up deals, especially as private equity firms have played an increasingly larger role in the market over the last decade. There are surprisingly few large insurance brokerages. So, what should insurance agencies expect in 2024?

Valuation 52

Valuation Insurance M&A Profitability 52

Sica Fletcher

SEPTEMBER 3, 2024

Risks When Selling an Insurance Agency Book of Business Once it’s been valued, marketed, and reviewed, the final steps in selling an insurance agency book of business are the final negotiations and closing. The following section outlines common payment structures in BoB transactions. Learn more at SicaFletcher.com.

Insurance 52

Insurance Business Valuation M&A 52

Cooley M&A

MAY 5, 2020

2014) (“MFW”) and its progeny applies in a non- MFW scenario (i.e., Between October 5 th and 11 th , the special committee supervised a price negotiation with iSubscribed, which resulted in an increased offer of $3.68 from the outset). M&F Worldwide Corp., 3d 635 (Del. in a transaction without a conflicted controlling shareholder).

Negotiation 40

Negotiation Mergers and Acquisitions Utilities IT 40

Cooley M&A

SEPTEMBER 16, 2022

Take, for example, the acquisition of Inovalon Holdings, a dual-class company that completed its IPO in 2015, by a consortium of private equity investors. of the transaction’s equity value. [15]. As always, ambiguity begets litigation. The risk tolerance of the high-vote stockholder and the dual-class company’s board. Teddy Nimetz. [1]

M&A 59

M&A IPO Shares Mergers and Acquisitions 59