Aon to Acquire USI for $17 Billion

By Philip Seaworth • Monday, August 31 10:47 • Permanent Link

Aon said it has agreed to buy U.S. insurance broker and consulting firm USI for $17.0 billion, a deal it says will create the premier U.S. middle-market platform and deepen its push into one of the fastest-growing parts of commercial insurance.

USI brings about $3 billion in annual revenue and more than 10,500 employees across nearly 200 U.S. offices. Aon said the acquisition expands its presence in the U.S. middle-market segment, which it described as more than $40 billion in size and accounting for more than one-third of U.S. commercial property and casualty direct written premium.

The company said the transaction will also broaden its access to the excess and surplus market, which it said represents 26% of U.S. commercial P&C premiums. Aon said USI’s emerging wholesale capabilities will help it serve a wider range of client needs in that segment.

Aon said the combined middle-market platform is expected to generate about $395 million in annual run-rate net adjusted EBITDA impact from revenue and cost synergies. It said the deal is expected to be accretive to adjusted EPS in 2028 and thereafter.

The purchase price works out to $16.7 billion on a net basis after about $278 million of tax attributes. Aon said that equals about 14.5 times synergized trailing twelve-month adjusted EBITDA.

The company said it plans to fund the acquisition and related costs with new debt across a range of maturities. It said it expects to maintain its current ratings of Baa2 from Moody’s and A* from S&P.

Aon said the transaction was unanimously approved by both boards and is expected to close in the fourth quarter of 2026, subject to regulatory approvals. Until then, Aon and USI will continue to operate independently.

Following the close, USI chairman and CEO Mike Sicard is set to become president of Aon plc and global CEO of middle market, reporting to Greg Case and joining Aon’s executive committee. As a result of these announcements, the company's shares have moved -6.52% on the market, and are now trading at a price of $332.23. For more information, read the company's full 8-K submission here.

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