BV Investment Partners has acquired Risk International, a provider of commercial risk management and employee benefits advisory services.
Risk International provides its services -including outsourced risk management, benefits advisory, actuarial consulting and claims management – to Fortune 500 and upper middle-market and large-cap companies, including portfolio companies of private equity firms. By utilizing the services of Risk International, companies can meaningfully reduce the recurring total cost of commercial insurance and employee benefits, while preserving or improving coverage. The company estimates that since its founding in 1986 it has helped clients save or reduce their cost of risk by over $1 billion.
Risk International, led by CEO Todd Miller, is headquartered in Fairlawn, OH with offices in Charleston, SC and Charlotte, NC (www.riskinternational.com). “Risk International is the only scaled independent provider of its services in the industry, and we are in the very early innings of penetrating a massive market opportunity of over $3 billion in the US alone,” said Mr. Miller. “We have a great organic growth strategy and look forward to investing in the next chapter of Risk International in partnership with the team at BV.”
“We set out to find an investor who would be a true financial partner and has a track record investing in services businesses like our own. BV has that in spades, and most importantly, understands and respects the culture of great service that we’ve built here throughout our history,” said Risk International Chairman Dave O’Brien. “We have a lot of confidence that BV will be a value-added partner to help us achieve our potential in the years ahead.”
BV Investment Partners makes investments in companies active in the business services and information technology services industries. Since its founding in 1983, the firm has invested over $3 billion in more than 93 companies. In April 2017, the firm held a first and final close of BV Investment Partners Fund IX LP at its $750 million hard cap, well above its $600 million target. BV Investment Partners is headquartered in Boston (www.bvlp.com).
“The firm has had a long history of successfully investing across the insurance industry,” said Vik Raina, Managing Partner of BV. “We believe our knowledge and network coupled with the very attractive operating metrics of Risk International and its highly experienced management team should drive significant future growth and value creation in the business.”
BV will own a majority interest in Risk International and the company’s executive team – including CEO Todd Miller, Chairman Dave O’Brien, and CFO Randy Weiser – will retain a significant ownership interest.
“Risk International is a unique and growing business that is disrupting the traditional world of employee benefits and insurance brokering,” said Justin Garrison, a Principal at BV. “Unlike traditional brokers, Risk International is directly aligned with its clients and provides fully independent advice and services free from any conflicts of interest with insurance carriers. The company delivers an exceptional service with a proven return on investment to its customers. We’re excited to be partnering with the Risk International team to build on and add to the great things that the company has accomplished to-date. This includes expanding the sales and marketing effort, expanding the product and service offering, and executing strategic M&A.”
Risk International is BV’s third investment in its ninth fund.
© 2018 Private Equity Professional | June 29, 2018
