Secondary Buyout • Insurance

KKR, La Caisse and NB Private Equity Partners Acquire USI Insurance Services

On March 17, 2017, private equity firm KKR, asset manager La Caisse and asset manager NB Private Equity Partners acquired insurance company USI Insurance Services from Onex Partners for 4.3B USD

Acquisition Context
  • This is KKR’s 7th, La Caisse’s 3rd and NB Private Equity Partners’ 1st transaction in the Insurance sector.
  • This is KKR’s 25th, La Caisse’s 6th and NB Private Equity Partners’ 5th largest (disclosed) transaction.
  • This is KKR’s 97th, La Caisse’s 5th and NB Private Equity Partners’ 8th transaction in the United States.
  • This is KKR’s 7th, La Caisse’s 2nd and NB Private Equity Partners’ 3rd transaction in New York.

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M&A Deal Summary

Date March 17, 2017
Target USI Insurance Services
Sector Insurance
Buyer(s) KKR
La Caisse
NB Private Equity Partners
Sellers(s) Onex Partners
Deal Type Secondary Buyout
Deal Value 4.3B USD

Target Company

USI Insurance Services

Valhalla, New York, United States
USI Insurance Services is a provider of a fully integrated distribution of general and specialty property and casualty insurance and financial services such as employee benefits outsourcing and related consulting. USI Insurance Services was founded in 1994 and is based in Valhalla, New York.
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Buyers Overview 3

Buyer

KKR

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1976
PE ASSETS 267.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION
KKR's office in Menlo Park, California.
KKR's office in Menlo Park, California.

KKR is a global investment firm founded by Jerome Kohlberg, Henry Kravis, and George Roberts. The Firm is separated into several business segments including private markets, public markets, capital markets, and other principal activities. KKR's private equity practice invests in management buyouts, take privates, corporate divestitures, industry consolidations, and partnerships with family-owned companies. KKR will invest in a broad range of industries and companies and will consider businesses throughout North America, Europe, Asia, and Australia/New Zealand. Sectors of interest include chemicals, consumer products, energy and natural resources, financial services, healthcare, industrial, media/communications, retail, and technology. In addition to its traditional principal investment activity business, KKR also invests in infrastructure assets. KKR was formed in 1976 and is based in New York, New York.


Deal Context for Buyer #
Overall 231 of 503
Sector: Insurance 7 of 15
Type: Secondary Buyout 45 of 113
State: New York 7 of 20
Country: United States 97 of 213
Year: 2017 11 of 41
Size (of disclosed) 25 of 110
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2017-02-28 Van Gansewinkel Groep BV

Eindhoven, Netherlands

Van Gansewinkel Groep BV is the waste management and processing company in the Benelux, engaging in the collection and processing of waste into raw materials and energy.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-03-21 Winoa

Le Cheylas, France

Winoa is a manufacturer of steel abrasives across the transportation, equipment, energy and construction end-markets. Winoa successfully serves a diverse customer base of over 10,000 customers worldwide. Winoa is headquartered in Le Cheylas, France with 11 manufacturing facilities in Europe, North America, South America, Asia, and Africa.

Sell -
Buyer

La Caisse

Investor Investor Investor Investor Investor


Category Asset Manager
Founded 1965
PE ASSETS 90.0B CAD
Size Mega
Type Sector Agnostic
DESCRIPTION

CDPQ is a global asset management firm focused on a variety of investing strategies including fixed income, real estate, infrastructure, private equity, venture capital, and public equities. Within private equity, CDPQ looks to acquire significant minority stakes in businesses operating in a variety of sectors and seeks to commit $250 million to $1 billion per transaction. CDPQ was established in 1965 and is headquartered in Montreal, Quebec.


Deal Context for Buyer #
Overall 32 of 106
Sector: Insurance 3 of 4
Type: Secondary Buyout 7 of 20
State: New York 2 of 4
Country: United States 5 of 26
Year: 2017 3 of 15
Size (of disclosed) 6 of 13
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2017-03-08 SUEZ Water Technologies & Solutions

Minnetonka, Minnesota, United States

SUEZ Water Technologies & Solutions engages in the provision of equipment, chemicals and services for the treatment of water and wastewater. In order to address its industrial clients’ increasingly complex needs, GE Water invests heavily in research and development of unique solutions. Its innovative technology has made it one of the most sophisticated players in its industry. SUEZ Water Technologies & Solutions is based in Minnetonka, Minnesota.

Buy $3.4B
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-03-30 Previan Technologies

Quebec, Quebec, Canada

Previan Technologies is specialized in the development of equipment and software used to detect cracks, corrosion and other anomalies on different types of structures. Its advanced non-destructive testing (NDT) technologies – meaning no damage is caused to the asset being inspected – are used for the inspection of critical components in industries such as power generation, petrochemicals and aerospace. Previan Technologies was founded in 2009 and is based in Quebec, Quebec.

Buy -
DESCRIPTION

NB Private Equity Partners is a publicly traded asset manager focused on acquiring direct investments in privately held companies. The Firm principally targets businesses in the US and looks to invest alongside other private equity managers when considering opportunities. NB Private Equity Partners is headquartered in the UK, with an additional office in the US.


Deal Context for Buyer #
Overall 12 of 39
Sector: Insurance 1 of 3
Type: Secondary Buyout 4 of 20
State: New York 3 of 7
Country: United States 8 of 24
Year: 2017 1 of 7
Size (of disclosed) 5 of 8
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-12-06 Viant Medical

Foxborough, Massachusetts, United States

Viant Medical is a contract manufacturing organization, specializing in medical device components. The Company offers a broad range of capabilities that support the global medical device original equipment manufacturers’ production of devices for diagnostic, orthopedic, surgical and other applications. Viant was founded in 2007 and is based in Foxborough, Massachusetts.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-04-04 FDH Aero

Commerce, California, United States

FDH Aero is a distributor of c-class hardware and replacement parts to commercial and defense aircraft manufacturers, subcontractors, component distributors, and MRO/aftermarket solution providers. FDH Aero is based in Commerce, California.

Buy -

Seller Profile 1

SELLER

Onex Partners

Toronto, Ontario, Canada

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1984
PE ASSETS 21.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Onex Partners is the private equity investment arm of Onex Corp., a Canadian based public investment and asset management firm that also invests in real estate and credit securities. Onex Partners targets investments in large companies, and ONCAP which invests in smaller middle-market companies. Both groups consider North American businesses in a wide range of industries with a special interest in aerospace, healthcare, and industrial companies. Prospective transaction situations include corporate carve-outs where the firm can leverage restructuring capabilities. Onex Corp. was established in 1984 and is based in Toronto with an additional office in New York City.


Deal Context for Seller #
Overall 22 of 40
Sector: Insurance 2 of 5
Type: Secondary Buyout 5 of 6
State: New York 1 of 3
Country: United States 18 of 31
Year: 2017 1 of 2
Size (of disclosed) 2 of 11
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2017-03-03 Parkdean Resorts

Newcastle upon Tyne, United Kingdom

Parkdean Resorts is a major operator of caravan holiday parks in the United Kingdom. Parkdean Resorts offers a choice of Caravan Holidays and Holiday Home Ownership at 48 Parks, each one with its own unique mix of facilities and entertainment, making it the perfect choice for a family holiday in the UK. Parkdean Resorts is based in Newcastle upon Tyne, United Kingdom.

Buy £1.4B
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-04-28 Emerald

New York, New York, United States

Emerald is an operator of large business-to-business tradeshows in the United States across 10 end markets. Emerald has two principal sources of revenue: tradeshow revenue and revenue from print and digital publications and select conferences. Emerald was founded in 2013 and is based in New York, New York.

Sell -