Marsh & McLennan Companies (MMC), a professional services firm, and Altegrity, a screening and security solutions company, have signed a definitive agreement under which Altegrity will acquire Kroll, a risk consulting firm, from MMC in an all-cash transaction valued at $1.13bn.
Altegrity is owned by Providence Equity Partners, a private equity firm specializing in equity investments in media, entertainment, communications and information companies.
Following the completion of the transaction, Altegrity companies will have approximately 11,000 employees across 30 countries.
The transaction, which is expected to close by late September 2010, is subject to regulatory approvals and other customary closing conditions.
Mike Cherkasky, CEO of Altegrity, said: The combination of Kroll and Altegrity broadens our capabilities with the addition of a portfolio of industry-leading services to help clients identify and manage risk. Altegrity and Kroll will leverage their combined resources to develop new and innovative solutions for government and commercial clients across a global platform.
Both Altegrity and Providence look forward to working with Kroll CEO Ben Allen and the entire Kroll team to deliver the highest quality service offering in the industry and to grow the combined business.
Brian Duperreault, president and CEO of MMC, said: Over the past six years, Kroll has been a valued member of the MMC family, however we have determined our long-term strategy is to focus on the risk and insurance services and consulting businesses. Altegrity, with its complementary practice areas and expertise, will be a superb partner with Kroll to help drive the continued success of Kroll’s businesses and people.