Australian insurance broking and distribution group Steadfast has acquired H.W. Wood Limited and HWI France to expand its London market capabilities for a purchase price of £23.5 million.
The acquisition will be funded from Steadfast’s existing corporate debt facilities and free cashflow Forecast to be EPS accretive from the date of acquisition before synergies, explained the firm.
The expanded scale of Steadfast’s London presence will also support the management of its London binders, which will all be brought in-house over the next two years rather than outsourced to a third party. This will reduce expenses and further enhance revenue for the Group.
The expected date of settlement is December 2nd, 2024, subject to regulatory and other commercial terms. Year to date, Steadfast has completed approximately $150 million of the FY25 $300 million acquisition guidance assumption, post settlement of H.W. Wood.
The acquisition aims to bolster the service offering of Steadfast’s networks with H.W. Wood’s enhanced presence and strong relationships in the London market.
It will also provide Steadfast with a platform to expand Steadfast Placements and the wholesale broking offering to service the ISU Steadfast network in the US and further expand its servicing of inbound business from the global UnisonSteadfast network.
Founded in 1982, London-domiciled, H.W. Wood is an independent insurance broker, it has also been established as a Lloyd’s broker since 2003, The company provides wholesale, retail and reinsurance solutions to clients across international marine and cargo, property, fine art and specie and other areas.
Together, the acquired businesses have more than 75 staff located in the UK, France and Greece.
H.W. Wood will continue to be led by Managing Director, Steve Rudduck, who joined the business in 1999. The Steadfast Placements team, which services Steadfast network brokers in Australasia with hard-to-place or complex risks in London, will integrate into the new entity.
Robert Kelly, Managing Director & Chief Executive Officer, commented, “We have been investigating options to expand further into the London market to substantially increase our ability to support our network brokers and agencies in Australasia, UnisonSteadfast and in the U.S., and provide a runway of additional international growth opportunities.”
