Private equity firm TA Associates is exploring a sale of its stake in Australian insurance broker Honan Insurance Group Pty amid interest from other potential investors, according to people familiar with the matter.
TA is working with a financial adviser as it prepares for a sale of the business, the people said. A transaction could value the Melbourne-based company at $300 million to $400 million, the people said, asking not to be identified because the information is private.
Other investment funds and industry players have shown early interest in the asset, the people said. Deliberations are preliminary and the owner could decide against pursuing a deal, they added.
A representative for Boston-based TA declined to comment.
Founded in 1964, Honan offers services including designing, pricing and negotiating insurance policies on behalf of mid-market companies across industries such as financial institutions, health care and technology, TA’s website shows. It has a presence in Australia, New Zealand and Southeast Asia.
The company has made seven acquisitions in less than a year, most recently announcing a deal to buy New Zealand-based Certus Insurance Brokers in March for an undisclosed amount, according to its website. Other acquisitions include Carollo Horton, Trumpet Financial and Ardrossan.
TA invested in the company in 2020 without disclosing financial details, according to a statement at the time. As part of the deal, management including then-Group CEO Damien Honan agreed to continue to lead the business and be shareholders along with TA. Honan is currently executive chairman.
–With assistance from Kamaron Leach.
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