M&A

As part of expansion plans, Ki has also signed a stock purchase agreement to acquire an inactive insurance carrier that holds licenses in more than 40 states.

The potential transaction is expected to complete in the third quarter.

The brokers have offered to divest Willis’ largest corporate risk and broking clients to Gallagher’s Crombie Lockwood.

The competition watchdog has approved the acquisition of Willis Towers Watson by Aon if the latter complies with a ‘substantial set of commitments’, including the divestment of central parts of Willis’s business to Gallagher.

Aon will have to wait until November at the earliest to argue the case in Federal Court for its $30bn merger with Willis Towers Watson.

The Commerce Commission has extended its review of the merger by another six weeks.

The French mutual has been looking to expand, with recent unsuccessful attempts to acquire Scor and PartnerRe.

The broking houses also said they "remain fully committed to the benefits of [their] proposed combination".

The deal is designed to assuage the Department of Justice’s concerns over the Aon-Willis merger.

Century Equity Partners and WT Holdings are backing the new venture.

The US government reportedly has around 20 attorneys at work in case it decides to sue to block the deal.

The carrier cut back its treaty limit by around 13% and lowered its deductible.