Aon plc reported an 8% increase in total revenue to $3.4 billion for the fourth quarter of 2023, with organic revenue growth of 7%. The company's full year total revenue increased 7% to $13.4 billion, including organic revenue growth of 7%. Despite a 21% decrease in EPS to $2.47 for the quarter, adjusted EPS remained flat at $3.89. Aon also announced a definitive agreement to acquire leading broker NFP. The company repurchased 2.3 million class A ordinary shares for approximately $0.8 billion in the fourth quarter and 8.4 million shares for approximately $2.7 billion in the full year 2023.
Management consulting firm Aon has announced its plans to acquire privately held insurance broker NFP in a $13.4 billion deal, aiming to tap into the fast-growing middle-market segment of insurance brokerage, wealth management, and retirement plan advisory. The deal, expected to close in mid-2024, will be funded with $7 billion in cash and $6.4 billion in Aon stock. Despite Aon's shares falling 8% due to anticipated one-time transaction and integration costs, the company expects long-term adjusted operating margin expansion. NFP, with over 7,700 employees, is projected to generate $2.2 billion in annual revenue this year and forecast a 14% rise in total revenue by 2025.
Aon, a global professional services firm, has announced its acquisition of NFP, a leading middle-market provider of risk, benefits, wealth, and retirement plan advisory solutions. The $13.4 billion deal will expand Aon's presence in the middle-market segment and enhance its distribution capabilities. NFP will operate as an independent platform within Aon, with its CEO, Doug Hammond, continuing to lead the business. The acquisition is expected to drive long-term EPS accretion and contribute to strong combined free cash flow. The transaction is subject to regulatory approvals and is expected to close in mid-2024.
Aon, a global professional services firm, has announced its acquisition of NFP, a leading middle-market provider of risk, benefits, wealth, and retirement plan advisory solutions. The $13.4 billion deal will expand Aon's presence in the middle-market segment and enhance its distribution capabilities. NFP will operate as an independent platform within Aon, going to market as "NFP, an Aon company." The acquisition is expected to drive long-term EPS accretion and contribute to strong combined free cash flow. The transaction is subject to regulatory approvals and is expected to close in mid-2024.
