Private equity-backed brokerage PCF Insurance Services LLC expects to almost double its acquisition rate by 2021, potentially making it one of the best acquirers of insurance agents and brokers for the year, says its senior executives.
The Woodland Hills, California-based company completed 36 acquisitions in 2020, with most deals after it being sold to a new venture capitalist, Palo Alto, California-based HGGC LLC, in April.
"We have bought $ 1 million (revenue) agencies to $ 15 million agencies and everything in between," said Peter Foy, chairman and CEO of PCF, which formed the company's founding agency in 1987, in an interview Friday.
" We have a huge
According to data from Optis Partners LLC, PCF was the sixth most active broker acquirer in 2020. The most active acquirer was Acrisure LLC with 1
PCF's most recent acquisition, announced last week, was Western States Insurance Agency Inc., a Spanish Forks, Utah-based brokerage firm specializing in insurance for the agricultural and residential construction sectors and having 10 employees.
Through the business it has completed since the HGGC acquisition, PCF grew from approximately $ 70 million in revenue to $ 150 million in revenue by the end of 2020 and is expected to grow to $ 200 million. at the end of the first quarter, said Jeremiah Jewkes, Head of Development and Strategy.
“We still believe there is a great opportunity out there, and we intend to be very active and very forward-looking when it comes to finding new partnerships. "He said.
The business, which started with a benefits office, is now 60% commercial property / accident, 20% benefits and 20% personal lines, Jewkes said.
All owners of the acquired agencie's retain a stake in PCF and the broker has programs to allow all employees to purchase equity, he said. Catalog