Brown & Brown, Inc. announces the acquisition of Dealer Admin. Services, Inc. by Brown & Brown Dealer Services

Rhea-AI Summary

Brown & Brown, Inc. (NYSE: BRO) has announced the acquisition of substantially all assets from Dealer Admin. Services, Inc. (DAS). This acquisition aims to enhance the offerings of Brown & Brown Dealer Services (BBDS) by integrating DAS, a provider of aftermarket F&I product solutions for auto dealers. The existing DAS leadership will remain in place as it becomes a division of BBDS. This strategic move follows a successful integration of DAS into the Brown & Brown group during the ADG acquisition, with expectations for improved solutions for dealer customers.

Positive

• Acquisition of DAS enhances product offerings for dealer customers.
• DAS will operate under existing leadership, ensuring continuity.
• Integration of DAS is expected to strengthen BBDS's competitive position.

Negative

• None.

DAYTONA BEACH, Fla., Dec. 13, 2021 (GLOBE NEWSWIRE) -- J. Scott Penny, chief acquisitions officer of Brown & Brown, Inc. (NYSE:BRO), and Bill Kelly and Joel Kansanback, owners of Dealer Admin. Services, Inc. (“DAS”), today announced that Brown & Brown Dealer Services (“BBDS”) has acquired substantially all of the assets of DAS.

DAS is a dealer-centric administrator that provides aftermarket F&I product solutions for franchise and pre-owned dealers. DAS will become a division of Brown & Brown Dealer Services, under the leadership of Mike Neal—Bill Kelly will continue to lead the DAS operations from offices in Bloomington, Minnesota. 

Mike stated, “DAS has supported our valued BBDS dealer customers since Bill and Joel joined the Brown & Brown team as part of the ADG acquisition. The addition of the DAS team will allow us to further enhance the unique solutions we provide to our dealers along with our other product provider partners.”

About Brown & Brown, Inc.

Brown & Brown, Inc. (NYSE: BRO) is a leading insurance brokerage firm, delivering risk management solutions to individuals and businesses since 1939. With over 11,000 teammates in more than 300 locations across the U.S. and select global markets, we are committed to providing innovative strategies to help protect what our customers value most. For more information, please visit www.bbinsurance.com.

This press release may contain certain statements relating to future results which are forward-looking statements, including those associated with this acquisition. These statements are not historical facts, but instead represent only Brown & Brown’s current belief regarding future events, many of which, by their nature, are inherently uncertain and outside of Brown & Brown’s control. It is possible that Brown & Brown’s actual results and financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. Further information concerning Brown & Brown and its business, including factors that potentially could materially affect Brown & Brown’s financial results and condition, as well as its other achievements, is contained in Brown & Brown’s filings with the Securities and Exchange Commission. Such factors include those factors relevant to Brown & Brown’s consummation and integration of the announced acquisition, including any matters analyzed in the due diligence process, and material adverse changes in the business and financial condition of the seller, the buyer, or both, and their respective customers. All forward-looking statements made herein are made only as of the date of this release, and Brown & Brown does not undertake any obligation to publicly update or correct any forward-looking statements to reflect events or circumstances that subsequently occur or of which Brown & Brown hereafter becomes aware.

For more information:

R. Andrew Watts
Chief Financial Officer
(386) 239-5770

FAQ

What is the purpose of Brown & Brown's acquisition of Dealer Admin. Services?

The acquisition aims to enhance the product offerings and solutions for Brown & Brown Dealer Services customers.

What are the expected benefits of the DAS acquisition for BRO shareholders?

The acquisition is expected to strengthen BBDS's market position and improve service offerings, potentially boosting revenue.

Who will lead Dealer Admin. Services after the acquisition by Brown & Brown?

Bill Kelly will continue to lead DAS operations from Bloomington, Minnesota, under the BBDS umbrella.

When was the acquisition of Dealer Admin. Services by Brown & Brown announced?

The acquisition was announced on December 13, 2021.

What type of services does Dealer Admin. Services provide?

DAS provides aftermarket F&I product solutions for franchise and pre-owned auto dealers.