Willis signs deal to buy 85% stake in broker Miller

Miller Insurance Services and Willis Group have successfully concluded negotiations to form a leading London wholesale specialist broking firm.

The two brokers were in exclusive talks about the deal last October.

The agreement will combine the firms’ wholesale and specialty businesses to trade under the Miller brand, managed, governed and regulated as a standalone legal entity and separate Lloyd’s broker.

Under the terms of the transaction, which is subject to regulatory approval, Willis Group will become a corporate member in Miller Insurance Services LLP by taking a majority (85%) interest in the partnership. Partners of Miller will retain the remaining interest in perpetuity to be transferred across generations of new partners.

The transaction combines those businesses of Miller and Willis that are complementary and selected broking activities will transfer between the two firms. Wholesale broking activities encompassing a series of units will transfer from Willis to Miller and Miller’s treaty reinsurance, UK corporate client and financial institutions teams will transfer to Willis.

Miller will utilise its existing client service capabilities with Willis’ wholesale industry and specialist experience to continue to serve the global independent wholesale specialty and MGA client base, operating under the Miller brand out of its new London HQ with continuity of leadership and management.

Miller chief executive Graham Clarke said: “This agreement will accelerate our growth strategy and enhance our offering to our clients. It is a unique opportunity to combine the strengths of two firms for which client service is paramount.

“Miller’s independent platform and partnership will continue to operate under the Miller brand with the same ethos and continuity of leadership, complemented by Willis’ international experience, scale and industry and product knowledge.”

Willis Group chief executive Dominic Casserley said: “Miller, a pre-eminent independent specialist broker in the London wholesale market, is highly regarded by clients and insurance carriers, with a culture and professional approach that aligns closely with Willis’ own values-based client service and heritage.

“This transaction positions Miller as a leading London specialist wholesaler, allowing Willis and Miller to draw on each other’s professional strengths, and underlines the deep commitment of both parties to the London insurance market.”

The transaction is subject to customary closing conditions and is expected to close in the second quarter of 2015. The terms of the transaction were not disclosed.