Jardine Lloyd Thompson Group (JLT) that 99.9% of its shareholders voted in favour of having JLT acquired by Marsh & McLennan Companies (MMC) for $5.6bn.
Image: Marsh & McLennan Headquarters in New York City. Photo: Courtesy of Americasroof/Wikipedia.org.
MMC is a professional services company in the areas of risk, strategy and people. The company’s approximately 65,000 colleagues advise clients in more than 130 countries.
The transaction was first announced in September this year.
Last month, the US Federal Trade Commission had granted early termination of the applicable waiting period under the Hart-Scott-Rodino Act, concluding the competition review of both the FTC and Department of Justice.
The transaction is still subject to additional antitrust, financial regulatory and UK High Court approvals.
MMC president and CEO Dan Glaser said: “Today’s vote is an important milestone. The process of planning the future of Marsh & McLennan and JLT together now begins in earnest. The colleagues I’ve met at town halls are enthusiastic about bringing the best of both organizations together for the benefit of our clients.
“Upon closing, the combined firm will have the deepest pool of talent in the industry; the broadest industry expertise; and the greatest capability to invest in data, analytics and digital solutions. We will meet our clients’ greatest challenges with innovation and thought leadership.”
As per the terms, JLT shareholders will receive £19.15 ($25.19) per share in cash from the US professional services firm.
When the deal was announced, MMC stated that the deal could boost its strategy of becoming a leading firm in risk, strategy and people.
MMC also stated that JLT’s track record of growth and geographic diversification can in turn improve its own ability to accelerate growth and margin expansion across both geographies and products.
Formed in 1997 by the merger of Jardine Insurance Brokers and Lloyd Thompson Group, JLT is an insurance and reinsurance broker, operating across 40 countries and claims to have a strong presence in the UK and Australia.
JLT’s specialty business offers risk and insurance broking advice to industries such as energy, mining, healthcare, construction, aerospace and marine sectors.
Its reinsurance business, JLT Re offers risk analysis and risk transfer solutions to insurer clients in all classes of treaty and facultative reinsurance.