![Milbank LLP [Trevor Truman]](https://www.milbank.com/a/web/pcWxo6m9V3qDHNFtgnezgM/8NVAVU/trevor-truman-lon-web_new-4886-5423-6070-v1.jpg "Milbank LLP [Trevor Truman]")
Proceeds to be used, in part, to fund Gallagher’s acquisition of the Broking Division of Westfarmers Limited, the largest acquisition in Gallagher’s history
Milbank, Tweed, Hadley & McCloy advised the underwriters in the $945 million common stock offering by insurance conglomerate Arthur J. Gallagher & Co. (NYSE:AJG), proceeds of which will be used, in part, to fund its acquisition of the insurance brokerage business of Westfarmers Limited, one of the largest insurance broking networks across Australia and New Zealand.
Gallagher’s offering was comprised of 21.85 million shares of its common stock. The nearly $939 million purchase from Westfarmers is the largest acquisition in Gallagher’s history.
New York-based Global Securities partner James Ball led the Milbank team representing the underwriters, which included Morgan Stanley & Co. LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated. The transaction closed on April 16, 2014.
In addition to substantially funding the contemplated acquisition, Illinois-based Gallagher may use some of the offering’s proceeds to fund previous acquisitions and for general corporate purposes.
Mr. Ball said, “We are very pleased to participate in this significant offering by Gallagher, which helps the company position itself for growth and expansion in Australia and New Zealand. Having not accessed the equity markets in the many years, Gallagher was able to price a rather large offering quite competitively, which points to strong investor interest in the company’s Oceania prospects.”
In addition to Mr. Ball, Milbank attorneys representing the underwriters included Global Securities associates Trevor Truman, Sam Badawi, John Ablan, and Donald Canavaggio, Tax partner Andrew Walker and associate Erika Hauser; and Intellectual Property partner Lawrence Kass.
About Milbank
Milbank, Tweed, Hadley & McCloy LLP is a leading international law firm that has been providing innovative legal solutions to clients throughout the world for more than 145 years. Milbank is headquartered in New York and has offices in Beijing, Frankfurt, Hong Kong, London, Los Angeles, Munich, São Paulo, Singapore, Tokyo and Washington, DC.
The firm’s lawyers provide a full range of legal services to the world’s leading commercial, financial and industrial enterprises, as well as to institutions, individuals and governments. Milbank’s lawyers meet the needs of its clients by offering a highly integrated and collaborative range of services across key practice groups throughout its global network. Milbank’s integrated practice is underpinned by its attorneys’ acknowledged technical excellence, sectoral expertise and a strong tradition of innovation and client service.
