TORONTO & CHICAGO, December 5 /CNW/ - HKMB International Insurance
Brokers (HKMB) and Hub International Limited announced today that they have
entered into a definitive agreement pursuant to which HKMB will join with HUB
International. HKMB will become a new regional platform (hub) and carry on
business as HKMB Hub International from its existing offices in Toronto,
Ontario. HKMB's existing ownership group will continue as equity partners in
the combined firm.
HKMB Hub International's offerings to clients and colleagues will be
impressive, with greatly enhanced combined resources and leverage in the
Canadian marketplace. Founded in 1888, HKMB International is a leading
Canadian commercial insurance brokerage offering the full spectrum of
insurance and related services, including risk management advice,
property/casualty, group benefits and personal lines. Its diversified customer
base extends across all major industry sectors. HKMB International employs
approximately 240 people. HKMB's Vancouver office will be consolidated into
HUB International TOS.
"The combination with HKMB will add great depth and talent to our
Canadian operations," said Martin P. Hughes, chief executive officer and
chairman of HUB International. "We have the advantage of knowing the
leadership at HKMB very well and they will retain significant equity in the
combined entity. The reputation of HKMB is impeccable, not only in the
Canadian insurance community, but also in the U.S. and abroad. Like HUB
International, HKMB has grown rapidly through the efforts of a very dedicated
team of professionals who are passionate about serving the needs of their
clients," Hughes continued. "We admire their approach to business and respect
their management style. HKMB is going to be a great fit with us, and we
couldn't be happier to have them join our growing corporate family."
"HKMB's corporate mission has always been to advocate our clients'
interests and provide them with the best opportunity to address their exposure
to risk," said Gregory Belton, president of HKMB. "By combining with HUB
International, our sales and service teams will be able to leverage and access
an even wider range of products and services." Neil Morrison, chief executive
officer of HKMB, added, "We at HKMB International are all looking forward to
the opportunities that will open up to us from a significantly larger
footprint. We are excited to work with the HUB management team, and in
particular Dennis Pauls and our other counterparts, not only here in Ontario
but also throughout Canada and the United States. Our goal of growth for our
clients, our people, our partners and our business aligns fully with HUB's
values and vision for the future."
Operationally, HKMB is organized by industry-specific practice areas that
allow clients access to in-depth knowledge and experience, resulting in better
servicing of insurance needs and management of insurance costs. Practice areas
include owner-managed firms, automotive dealerships, not-for-profit and
charitable organizations, construction and engineering firms, food services
providers, franchisors, technology firms, hospitality providers, houses of
worship, leasing and lending institutions, life sciences/bio-tech firms, long
term care facilities, private equity investors, investment dealers,
governmental institutions, real estate developers, transportation firms and
sports and entertainment. HKMB also fields a claims team that is dedicated to
championing client claims.
It is anticipated that upon completion of the transaction, scheduled to
occur in early January, 2008, HUB's combined Ontario operations will generate
more than $100 million in total annualized revenue and total Canadian premium
volume will exceed $2.1 billion. HUB's existing regional hub in Ontario, Hub
International Ontario, will continue to be led by Dennis Pauls.
Completion of the transaction is subject to the usual closing conditions.
Terms of the transaction were not disclosed.
Founded in 1998 and headquartered in Chicago, IL, Hub International
Limited is a leading North American insurance brokerage that provides a broad
array of property and casualty, reinsurance, life and health, employee
benefits, investment and risk management products and services through more
than 250 offices located in the United States and Canada.
This press release may contain words such as "anticipate," "believe,"
"expect," "intend," "plan," "project," and other similar words and phrases
that indicate forward-looking statements. Forward-looking statements reflect
our current expectations regarding, among other things, our future growth,
results of operations, cash flows, performance and business prospects, and
opportunities. Such statements are based on information currently available to
us as well as assumptions regarding future events. Consequently, such
forward-looking statements are inherently subject to risks and uncertainties
related to industry, financial, legal, regulatory conditions and events and
other factors, any of which could cause our actual growth, results of
operations, financial condition, cash flows, performance and business
prospects, and opportunities to differ materially from those expressed in, or
implied by, such forward-looking statements. We therefore caution readers not
to place undue reliance on any forward-looking statements, which speak only as
of the date of this press release. We undertake no obligation to update any
statement contained herein, except as may be required law.
For further information:
For further information: Hub International Limited W. Kirk James,
312-279-4881 Vice President, Secretary and Chief Corporate Development Officer
Kirk.firstname.lastname@example.org or Heather Schneider, 312-279-4683 Corporate
Communications Director Heather.email@example.com or HKMB Neil
Morrison, 416-597-4612 CEO Neil.morrison@HKMB.com