Independent Insurance Agents of Dallas January 15,

Transcript:Independent Insurance Agents of Dallas January 15,:
Independent Insurance Agents of Dallas January 15, 2015 Presented to: An Investment Bank Serving the Insurance Industry Presented by: Lorna Gunnersen, Director London New York Charlotte Denver www.mysticcapital.com Mystic Capital Advisors Group 2 Services: - Mergers & Acquisitions Advisory Services - Due Diligence - Valuation Support Services - Expert Witness - Strategic Consulting - Perpetuation Planning Locations: - New York, NY - London, UK - Charlotte, NC - Denver, CO Experienced Professionals Founded in October 2001 by three former employees of The Hartford Financial Services Group, Inc. Firm professionals have prior experience at Big 4 accounting firms, large investment banks, and insurance brokers (KPMG, Deloitte, Ernst & Young, PricewaterhouseCoopers, Merrill Lynch, and Benfield Group), and Professional designations of employees include Certified Public Accountant (CPA), Chartered Property Casualty Underwriter (CPCU), Certified Insurance Counselor (CIC), Certified Valuation Analyst (CVA), and Chartered Financial Analyst (CFA). 3 Experts in the Insurance Marketplace Clients include: Insurance Agents & Brokers, Insurance Companies, Program Administrators, Managing General Agents (MGA’s), Managing General Underwriters (MGU’s), Third Party Claims Administrators (TPA’s), Insurance Wholesale Agents, Financial Institutions, and Private Equity Groups 4 Mystic Capital Experience Experienced Professionals: Advised on over 180 insurance-related transactions since firm inception (source: SNL Financial) with an aggregate transaction value in excess of $2 billion Consistently ranked among top 3 financial advisors in the U.S. insurance industry in terms of completed transactions Know the current acquisition environment through current advisory engagements and constant discussion with active industry participants Advising on numerous transactions in advanced deal stages throughout the U.S. and internationally TOP FINANCIAL ADVISORS IN US INSURANCE 2008-2013 Source: SNL Financial *It should be noted that not all transactions are publicly reported. In addition, many reported transaction do not disclose transaction value Factors Driving M&A The M&A market is currently robust as there are more positive factors driving M&A, than negative factors hindering it Recent History A Large number of transactions were completed in 4th Quarter 2012, driven by change in capital gains 1st Quarter 2013 was slow due to front loading of transactions in 4th Quarter 2012 Number of deals steadily increased throughout 2013 and has remained steady through 2014 U.S. Insurance Brokerage M&A Source: SNL Financial M&A History U.S. Insurance Brokerage M&A Source: SNL Financial Insurance Brokerage Demographics Drive M&A Industry is extremely fragmented The number of independent agencies in the U.S. is approximately 38,500 per the Independent Insurance Agents & Brokers of America 100th