Global insurance brokerage HUB has successfully completed a substantial minority investment from Leonard Green & Partners, L.P. (LGP), along with several other prominent institutional minority investors.
HUB had previously announced the deal with LGP in April 2023, confirming that it expects to receive a “substantial” minority investment from funds managed by the firm, with HUB’s enterprise valuation of $23 billion.
According to the announcement, the brokerage will use the investment to repurchase equity interests from existing equity holders.
HUB’s valuation has grown fivefold over the last 10 years, from $4.4 billion in 2013 when Hellman & Friedman (H&F) initially invested, to $10 billion in 2018 when Altas Partners (Altas) joined with its investment. In 2022, HUB hit $3.7 billion in annual revenue and is valued at $23 billion today.
Morgan Stanley & Co. LLC served as exclusive financial advisor to HUB, Simpson Thacher & Bartlett LLP served as legal counsel to HUB, and MarshBerry provided market research assistance to HUB.
Barclays acted as exclusive financial advisor and Latham & Watkins LLP served as legal counsel to LGP.