Arthur J. Gallagher & Co. Announces Closing of Public Offering of Common Stock and Full Exercise of Option to Purchase Additional Shares

Rhea-AI Summary

Arthur J. Gallagher & Co. (NYSE: AJG) announced the successful closing of its public stock offering, totaling 10,350,000 shares at $142.00 per share. This includes the full exercise of the underwriters' option for an additional 1,350,000 shares. The offering was conducted under an effective shelf registration statement and managed by Morgan Stanley, with several firms acting as co-managers. The funds from this offering are expected to bolster Gallagher's operational capabilities, although the potential for shareholder dilution exists due to the increased share count.

Positive

• Successful closing of a public offering for 10,350,000 shares at a price of $142.00 per share.
• Funds raised will enhance operational capabilities.

Negative

• Potential for shareholder dilution due to the increased number of shares outstanding.

ROLLING MEADOWS, Ill., May 17, 2021 /PRNewswire/ -- Arthur J. Gallagher & Co. (NYSE: AJG) ("Gallagher") today announced the closing of its public offering of 10,350,000 shares of its common stock at a price to the public of $142.00 per share, which includes the exercise in full of the underwriters' option to purchase an additional 1,350,000 shares of its common stock. Morgan Stanley & Co. LLC acted as sole book-running manager for the offering. BofA Securities, Deutsche Bank Securities, Keefe, Bruyette Woods, a Stifel Company, Truist Securities, Wells Fargo Securities, William Blair, Piper Sandler, RBC Capital Markets, Dowling & Partners Securities, LLC and Raymond James acted as co-managers for the offering.

The public offering was made pursuant to an effective shelf registration statement on Form S-3 dated March 8, 2021 that has been filed with the Securities and Exchange Commission (the "SEC").  A final prospectus supplement relating to the offering dated May 12, 2021 has been filed with the SEC and is available on the SEC's website at http://www.sec.gov. Copies of the final prospectus relating to these securities may be obtained from Morgan Stanley & Co. LLC, by mail at 180 Varick Street, 2nd Floor, New York, NY 10014, Attention: Prospectus Department.

This press release is neither an offer to sell nor a solicitation of an offer to buy any of the common stock or any other security of Gallagher, nor shall there be any sale of the common stock in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

About Arthur J. Gallagher & Co.

Arthur J. Gallagher & Co. is a global insurance brokerage, risk management and consulting services firm, and is headquartered in Rolling Meadows, Illinois. Gallagher has operations in 56 countries and offers client service capabilities in more than 150 countries around the world through a network of correspondent brokers and consultants.

Investors:  Ray Iardella		Media:  Kelli Murray
VP - Investor Relations		Director Global Public Relations
(630) 285-3661/ ray_iardella@ajg.com		(630) 277-0347/ Kelli_Murray@ajg.com

 

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SOURCE Arthur J. Gallagher & Co.

FAQ

What is the size of Arthur J. Gallagher's public offering?

Arthur J. Gallagher closed a public offering of 10,350,000 shares.

What was the price per share in the AJG stock offering?

The price was $142.00 per share.

Who managed the public offering for AJG?

Morgan Stanley was the sole book-running manager for the offering.

What is the potential impact of this offering on AJG shareholders?

The offering may lead to shareholder dilution due to the increase in shares outstanding.