Marsh, a global leader in insurance broking and risk management, today announced that it has reached a definitive agreement to acquire Franco & Acra Tecniseguros, the leading insurance adviser in the Dominican Republic and Marsh's long-standing local correspondent broker. Terms of the transaction were not disclosed.
The transaction, which is anticipated to close in the second quarter of 2013, will give Marsh a leadership position in one of the Caribbean's largest economies. Operating under the name Marsh, Franco & Acra, it will combine the long-established and highly regarded operations of Franco & Acra Tecniseguros, with the global solutions, resources and placement capabilities of Marsh to provide an enhanced service to clients of all sizes that will be unsurpassed in the Dominican Republic. Franco & Acra Tecniseguros has been Marsh's local correspondent broker since 1977.
Peter Zaffino, President and CEO of Marsh Inc., said: "The Dominican Republic has one of the strongest economies in the Caribbean, and I am excited by the opportunity to offer companies there the full range of Marsh's regional and global capabilities. This transaction solidifies the successful long-established relationship Marsh has had with Franco & Acra Tecniseguros. We look forward to working with their respected local management team and colleagues to further broaden their already deep client relationships by offering an enhanced global service and greater specialization across diverse sectors and industries."
Enrique Valdez, Managing Partner of Franco & Acra Tecniseguros, who will become CEO of Marsh, Franco & Acra, said: "Strong economic growth in recent years has increased the demand for a higher level of risk advice from companies looking to expand. By further consolidating our relationship with Marsh, we will strengthen and enhance the capabilities that Franco & Acra Tecniseguros has built up over many years and present the most comprehensive risk and insurance offering in the local market. It will ensure that clients have access to the full range of risk solutions to suit their particular needs.