NSM Insurance Group Announces Definitive Agreement for New Mountain Capital to Acquire Its U.S. Commercial Insurance Division
NSM Insurance Group has announced a definitive agreement to sell its U.S. commercial insurance division to New Mountain Capital, an investment firm managing over $55 billion in assets. The transaction, expected to close within 45 days subject to regulatory approvals, encompasses NSM's portfolio of 15 market-leading niche insurance programs across Property & Casualty, Accident & Health and Reinsurance, along with NSM Insurance Brokers.
The division will form a new independent entity, temporarily retaining the NSM brand. NSM, currently a Carlyle portfolio company, has grown to manage over $2 billion in premium across 30+ niche insurance programs, serving more than 20,000 agents nationwide. Aaron Miller, current Chief Commercial Lines Officer, will become CEO of the new entity, while Geof McKernan and Bill McKernan will join the board of directors to ensure a smooth transition.
NSM Insurance Group ha annunciato un accordo definitivo per vendere la sua divisione di assicurazioni commerciali negli Stati Uniti a New Mountain Capital, una società di investimento che gestisce oltre 55 miliardi di dollari in attivi. La transazione, prevista per chiudere entro 45 giorni, soggetta ad approvazioni regolatorie, comprende il portafoglio di NSM di 15 programmi assicurativi di nicchia leader di mercato nei settori della Proprietà & Responsabilità, Incidenti & Salute e Riassicurazione, insieme ai broker di assicurazione NSM.
La divisione formerà una nuova entità indipendente, mantenendo temporaneamente il marchio NSM. NSM, attualmente parte del portafoglio Carlyle, è cresciuta fino a gestire oltre 2 miliardi di dollari in premi attraverso più di 30 programmi assicurativi di nicchia, servendo più di 20.000 agenti a livello nazionale. Aaron Miller, attuale Chief Commercial Lines Officer, diventerà CEO della nuova entità, mentre Geof McKernan e Bill McKernan entreranno a far parte del consiglio di amministrazione per garantire una transizione fluida.
NSM Insurance Group ha anunciado un acuerdo definitivo para vender su división de seguros comerciales en EE. UU. a New Mountain Capital, una firma de inversión que gestiona más de 55 mil millones de dólares en activos. La transacción, que se espera cierre en 45 días, sujeta a aprobaciones regulatorias, abarca la cartera de NSM de 15 programas de seguros de nicho líderes en el mercado en las áreas de Propiedad y Responsabilidad, Accidentes y Salud, y Reaseguro, junto con los corredores de seguros de NSM.
La división formará una nueva entidad independiente, manteniendo temporalmente la marca NSM. NSM, actualmente una empresa del portafolio Carlyle, ha crecido hasta gestionar más de 2 mil millones de dólares en primas a través de más de 30 programas de seguros de nicho, sirviendo a más de 20,000 agentes en todo el país. Aaron Miller, actual Director de Líneas Comerciales, se convertirá en CEO de la nueva entidad, mientras que Geof McKernan y Bill McKernan se unirán a la junta directiva para asegurar una transición fluida.
NSM Insurance Group는 미국 상업 보험 부서를 New Mountain Capital에 매각하는 최종 계약을 발표했습니다. 이 투자 회사는 550억 달러 이상의 자산을 관리하고 있습니다. 이 거래는 규제 승인을 조건으로 45일 이내에 마무리될 것으로 예상되며, NSM의 15개 시장 선도적인 틈새 보험 프로그램 포트폴리오와 NSM 보험 중개인을 포함합니다.
이 부서는 새로운 독립 법인을 형성하며, NSM 브랜드를 일시적으로 유지합니다. 현재 Carlyle 포트폴리오 회사인 NSM은 30개 이상의 틈새 보험 프로그램을 통해 20억 달러 이상의 보험료를 관리하고 있으며, 전국 20,000명 이상의 에이전트에게 서비스를 제공합니다. Aaron Miller 현 상업 라인 책임자는 새로운 법인의 CEO가 되며, Geof McKernan과 Bill McKernan은 원활한 전환을 보장하기 위해 이사회에 합류합니다.
NSM Insurance Group a annoncé un accord définitif pour vendre sa division d'assurances commerciales aux États-Unis à New Mountain Capital, une société d'investissement gérant plus de 55 milliards de dollars d'actifs. La transaction, qui devrait être finalisée dans les 45 jours sous réserve des approbations réglementaires, comprend le portefeuille de NSM de 15 programmes d'assurances de niche leaders sur le marché dans les domaines de la Propriété & Responsabilité, des Accidents & Santé et de la Réassurance, ainsi que des courtiers en assurances NSM.
La division formera une nouvelle entité indépendante, conservant temporairement la marque NSM. NSM, actuellement une entreprise du portefeuille Carlyle, a réussi à gérer plus de 2 milliards de dollars de primes à travers plus de 30 programmes d'assurances de niche, servant plus de 20 000 agents à l'échelle nationale. Aaron Miller, actuel directeur des lignes commerciales, deviendra PDG de la nouvelle entité, tandis que Geof McKernan et Bill McKernan rejoindront le conseil d'administration pour assurer une transition en douceur.
NSM Insurance Group hat eine endgültige Vereinbarung bekannt gegeben, seine US-amerikanische Sparte für gewerbliche Versicherungen an New Mountain Capital zu verkaufen, eine Investmentgesellschaft, die über 55 Milliarden Dollar an Vermögenswerten verwaltet. Die Transaktion, die innerhalb von 45 Tagen, vorbehaltlich der behördlichen Genehmigungen, abgeschlossen werden soll, umfasst das Portfolio von NSM mit 15 marktführenden Nischenversicherungsprogrammen in den Bereichen Sach- und Haftpflicht, Unfall- und Gesundheitsversicherung sowie Rückversicherung, sowie die NSM Versicherungsbroker.
Die Division wird eine neue unabhängige Einheit bilden, die vorübergehend die Marke NSM behält. NSM, derzeit ein Carlyle-Portfoliounternehmen, hat sich auf über 2 Milliarden Dollar an Prämien aus mehr als 30 Nischenversicherungsprogrammen vergrößert und bedient über 20.000 Agenten im ganzen Land. Aaron Miller, der derzeitige Chief Commercial Lines Officer, wird CEO der neuen Einheit, während Geof McKernan und Bill McKernan dem Vorstand beitreten, um einen reibungslosen Übergang zu gewährleisten.
- Portfolio includes 15 market-leading niche insurance programs
- Company manages over $2 billion in premium across 30+ programs
- Serves more than 20,000 agents nationwide
- Demonstrated track record of market-leading performance over 35 years
- None.
Insights
This strategic divestiture of NSM's U.S. commercial insurance division marks a significant development in the specialty insurance sector, particularly in the MGA space. The transaction highlights several key insights for investors:
The deal structure demonstrates a sophisticated approach to value creation. By separating the commercial insurance division, which includes 15 niche insurance programs generating over
New Mountain Capital's entry into this space is particularly noteworthy. With
The retention of key leadership figures, including the McKernans on the board and the elevation of Aaron Miller to CEO, suggests a thoughtful transition strategy that should minimize disruption to existing carrier relationships and distribution networks. Miller's background in P&C commercial lines and his track record since 2021 in enhancing product offerings and operational efficiency positions the new entity well for continued growth.
Several strategic advantages emerge from this transaction:
- The creation of an independent entity allows for more focused investment in technology and operations
- The existing network of 20,000+ agents provides a robust distribution platform for future growth
- The diverse portfolio across P&C, A&H, and Reinsurance offers natural hedging against market cycles
For Carlyle shareholders, this transaction represents a positive development in their financial services portfolio optimization strategy. The company's ability to drive operational improvements and execute accretive M&A during their ownership period demonstrates their value-creation capabilities in the insurance sector.
The agreement encompasses NSM's diverse portfolio of 15 market-leading niche insurance programs across Property & Casualty, Accident & Health and Reinsurance — as well as its retail agency, NSM Insurance Brokers. These programs will form a new independent business entity, which will continue to be marketed as NSM until a new brand is established.
"Today, we are excited for this milestone and for New Mountain to help lead the next stage of growth for these well-established specialty insurance brands. We are extremely proud of the unique portfolio of programs we have built over the last 35 years that provide a profitable and diversified position in today's competitive marketplace," said Geof McKernan, CEO of NSM Insurance Group. "New Mountain has an impressive track record and we have the utmost confidence in their expertise, integrity and commitment to drive NSM forward. We want to thank the entire NSM team for their hard work — this transaction is a win for our team members and all stakeholders involved."
"The NSM team has done a tremendous job building an unparalleled specialty insurance distribution platform. The business has a 35-year track record of market-leading performance and we are delighted to partner to further build the business into the leading independent commercial insurance MGA business in the
Sean Donovan, Director at New Mountain Capital added, "As a new independent business, we're excited by the potential to further accelerate growth through focused investment in the business, the team and technology, which will drive continued, long-term success."
Since the company's founding in 1990, NSM has grown and evolved into a global specialty insurance provider with more than
"Carlyle is proud to have supported NSM's significant growth over the last three years through operational improvement, accretive M&A opportunities and strategic investments in technology, data and analytics," said Jim Burr, Co-Head of Financial Services at Carlyle and Jitij Dwivedi, a Partner focused on private equity investments in financial services at Carlyle. "This is a positive outcome for everyone involved, and we believe these specialty insurance programs are well positioned for continued success. We look forward to continuing to work with Geof McKernan and the NSM team to grow the company's remaining direct-to-consumer insurance brands and pursue future strategic acquisitions."
Geof McKernan and Bill McKernan will join the board of directors upon closing of the acquisition to ensure continuity and a smooth transition. Aaron Miller, Chief Commercial Lines Officer at NSM, will become the Chief Executive Officer of the new entity backed by New Mountain.
Miller has over 20 years of experience in the P&C commercial lines industry and has held various management and leadership roles throughout his career. Since joining NSM in 2021, Miller has been instrumental in driving the continued growth and transformation of the B2B programs by enhancing the product offerings, improving operational efficiency and strengthening carrier relationships.
"I look forward to partnering with the New Mountain team and working with my B2B colleagues to propel us toward unprecedented success," said Miller. "Today's announcement signals a new and exciting chapter not just for our team but for our carrier partners, agents and customers. Through this transaction, we are poised to become an even more formidable industry leader while creating greater value for our team members and key partners."
Houlihan Lokey acted as exclusive financial advisor to Carlyle and NSM. Wachtell, Lipton, Rosen and Katz acted as legal counsel to Carlyle and NSM. Polsinelli acted as legal counsel to NSM. Ardea Partners acted as exclusive financial advisor, and Simpson Thacher & Bartlett LLP served as legal counsel to New Mountain.
For more information about NSM's cutting-edge specialty insurance programs, visit nsminc.com.
About NSM Insurance Group
NSM Insurance Group is a global specialty insurance provider, exclusively focused on building successful insurance programs. For more than 30 years, NSM has been committed to delivering industry-specific insurance programs that help agents meet the unique needs of their customers and fuel market growth through innovative development, underwriting, distribution and risk management expertise. The company has built more than
About New Mountain Capital
New Mountain Capital is a
About Carlyle
Carlyle (NASDAQ: CG) is a global investment firm with deep industry expertise that deploys private capital across three business segments: Global Private Equity, Global Credit, and Global Investment Solutions. With
Media Contacts:
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SOURCE NSM Insurance Group
FAQ
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