Aon to Buy NFP for $13.4 Billion

Aon said it has signed an agreement to acquire NFP—a middle market property and casualty broker—for about $13.4 billion in cash and stock.

“The acquisition of NFP expands Aon’s presence in the large and fast-growing middle-market segment, with capabilities across risk, benefits, wealth and retirement plan advisory,” Aon said in a press release. The deal will be funded by $7 billion in cash and $6.4 billion of Aon stock.

The acquisition is expected to close in mid-2024. It will include about $400 million in one-time transaction and integration costs. The transaction is expected to dilute adjusted earnings in 2025, break even in 2026, and add to earnings in 2027 and beyond.

Shares of Aon, the professional services company, were falling 6.7% to $292 and were on track for their largest percent decrease since April 29, 2022, when they dropped 9.4% according to Dow Jones Market Data.


Source: Aon, Dow Jones