Reliance Global Group (RELI) has wrapped up acquisition of Fortman Insurance Agency, an Ohio-based unaffiliated insurance agency, for $4.138m.
Image: Fortman Insurance Agency acquired by Reliance Global. Photo: courtesy of rawpixel/Pixabay.
The acquisition of Fortman Insurance was carried out RELI’s subsidiary Reliance Global, which is a New York-based holding company for various companies in different sectors, with particular focus in real estate and insurance.
Fortman Insurance, which caters to customers across Ohio, specializes in offering personal and commercial lines of insurance. The agency’s products include farm, vehicle, commercial, home, renter’s, medicare products, life, individual and group health and ancillary coverages.
The insurance agency registered written premiums of nearly $21,000,000 and unaudited revenues of $1,600,000 for the fiscal year ended 31 December 2018.
Its acquisition was funded by Reliance, which is controlled by RELI chairman and CEO Ezra Beyman, through a mix of cash, stock and debt financing.
Fortman Insurance marks the fifth acquisition since Reliance acquired a controlling stake in RELI in last September. The deal is said to align with the management’s growth strategy of closing acquisitions in a timely manner.
Beyman said: ”We are delighted with RELI’s continuing to make acquisitions in the insurance agency space, as well as our vision to grow our independent agencies, and we intend to continue to make acquisitions in the real estate sector as well.”
Reliance Global claims to have more than 100 years of experience through its team members in acquiring and managing insurance portfolios in various states. The company is said to have developed specialized insurance programs targeting niche markets.
Its main strategy is to identify specific risk to reward arbitrage opportunities and to develop them on a national platform in order to boost revenues and returns by means of a synergetic structure.
Some of the affiliates of Reliance Global include Florida Specialty Insurance, Florida Chartered Insurance, Gallo Insurance Agency, Reliance USA Warranty, Banker’s Alliance Insurance Group, Geisenheimer Insurance and others.
Last month, the company acquired Southwestern Montana Insurance Agency for $2.33m. Southwestern Montana Insurance Agency is engaged in offering employee benefits insurance to groups and individuals.