The dissolution of Aon PLC's planned acquisition of Willis Towers Watson PLC caused a chain reaction that disrupted various other deals that had been conditional on the completion of the merger, but the largest of the secondary deals eventually occurred.
II May came the two brokers agree to sell different devices to satisfy antitrust issues raised by different regulators. The most prominent of these deals was the proposed sale of most of Willi's reinsurance brokerage business to Arthur J. Gallagher & Co.
The story of the deal, which was negotiated 100% practically, was the 10th most read story on Business Insurance 's website 2021.
The deal was hailed as a good buy for Gallagher who would turn it from a relatively modest reinsurance broker into a major player in the market.
But. When the merger between Aon and Willis was terminated in July, after US regulators raised other objections, the original agreement between Gallagher and Willis was also revoked. Still keen to make the reinsurance contract, they continued to negotiate, and a new deal was forged in August, albeit at a higher price.
Regulators re-examined the deal but approved the latter with Gallagher paid $ 3.25 billion, which rose to possible $ 4. billion, for Willis Re in December.
The acquisition raises Gallagher's annual reinsurance income to approximately $ 1