US-based Associated Banc-Corp has signed an agreement to acquire Minnesota-based risk and benefits consulting firm, Ahmann & Martin, for around $48m.
According to the company, the deal may include increase of the consideration by $8m, in a bid to meet certain contingencies over a defined period.
Upon closing of the transaction, the acquired business will be merged into Associated’s subsidiary Associated Financial Group (AFG).
Associated president and CEO Philip Flynn said: "The addition of this fast-growing and respected company to the Associated family enhances our ability to offer clients unique, comprehensive solutions to meet their insurance and financial risk management needs.
"As we look forward, we will continue to seek ways in which we can prudently grow our capabilities and drive greater client and shareholder value."
Ahmann & Martin provides financial services, including employee benefits, risk management, and business insurance with specialization in industry-specific solutions.
Ahmann & Martin current CEO of Ahmann & Martin Dean Hildebrandt will assume the role of president and CEO of the newly combined firm, as part of the deal.
The deal is expected to be completed by next month, noted Associated Banc-Corp.
With around 240 insurance specialists, AFG is a benefits specialist firm that generates around $49m of annualized insurance-related revenues.
AFG offers employee benefits, business insurance and human resource consulting, and select individual/private insurance services.
Associated noted that the deal is expected to move AFG among the US’ top 50 insurance brokerage firms, based on 2013 pro forma revenues.
Image: Associated Banc-Corp to acquire risk and benefits consulting firm, Ahmann & Martin. Photo: courtesy of renjith krishnan/ FreeDigitalPhotos.net.