Minter Ellison Assists Key Client IAG in a Strategic Acquisition
January, 2014 - Sydney, Australia
Insurance Australia Group Limited (IAG) announced the acquisition of the Australian and New Zealand insurance underwriting businesses of Wesfarmers Limited (Wesfarmers).
Minter Ellison acted as legal adviser to IAG, with an advisory team led by Sydney Head of M&A, James Philips, with partners Mark Standen and Christopher Brown. The team also included partners Paul Schoff and Daniel Scotti, and senior associates Louella Stone and Martin Wright. Others who provided invaluable assistance to the team included partners Richard Batten, Maged Girgis, Gordon Williams, Anthony Lloyd, Pam Madafiglio, Karen Payne, Nathan Deveson and Rhys Guild and their respective teams, and senior associate Kiri Purdy.
Commenting on the transaction, Mr Philips said: "Advising IAG on this transaction enabled us to draw on our leading expertise and depth in the M&A, insurance and equity capital markets areas. I am very proud of the capability and enthusiasm of everyone on our team. Most importantly, I am thrilled that we have helped IAG to analyse, negotiate and document this significant transaction."
The A$1.845 billion transaction will see IAG acquire the WFI, Lumley and Affinity & Direct insurance businesses in Australia, and the Lumley business in New Zealand. Wesfarmers' insurance broking businesses are not included in the transaction.
The acquisition is a unique opportunity, which is expected to deliver significant long term value for IAG shareholders and unlock further growth potential for IAG's businesses in Australia and New Zealand. It will be funded through a combination of ordinary equity, subordinated debt and internal funds and is subject to necessary regulatory approvals. It is expected to be completed in the second quarter of calendar 2014.
