Global insurance brokerage, risk management, and consulting services provider Arthur J. Gallagher & Co. (AJG) has acquired India’s Edelweiss Gallagher Insurance Brokers Ltd. from Edelweiss Financial Services.
The acquisition follows an earlier minority investment by AJG in 2019. The terms of the acquisition have not yet been disclosed.
Edelweiss Gallagher Insurance Brokers operates across four business verticals – corporate, affinity & association, reinsurance & global, and digital solutions. The company caters to diverse sectors, including cement, retail, healthcare, jewelry, property, and infrastructure.
Chairman, President, and CEO of AJG, J. Patrick Gallagher, Jr., said, “Our partnership with Edelweiss has delivered strong results and this new step provides an exciting opportunity to establish a broader Gallagher footprint in India.” (See AJG stock chart on TipRanks)
On June 21, Raymond James analyst Charles Peters reiterated a Buy rating on the stock with a price target of $170 (21.1% upside potential).
Peters said, “We believe AJG is the best-positioned company in our insurance brokerage coverage to benefit from the recent industry consolidation through a combination of asset purchases and new talent onboarding.”
Based on 6 Buys, 3 Holds, and 1 Sell, consensus on the Street is a Moderate Buy. The average AJG price target of $154.50 implies 10% upside potential. Shares have gained 44.3% over the past year.
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