Aon is reportedly nearing a roughly $17 billion deal, including debt, to acquire insurance brokerage and consulting firm USI from private-equity giant KKR, according to The Wall Street Journal.
The deal could be announced as soon as Monday, according to people familiar with the matter.
USI, based in Valhalla, New York, specializes in insurance brokerage, risk management, employee benefits and retirement consulting. The company generates around $3 billion in annual revenue.
KKR acquired USI from Onex in 2017 and later increased its ownership stake, becoming the company’s largest shareholder in 2023.
For Aon, the potential acquisition would expand its reach among midsize businesses and could strengthen earnings growth, with the deal potentially boosting earnings per share as early as 2028.
Aon currently has a market capitalization of around $75 billion. The company reported second-quarter adjusted earnings of $3.81 per share on July 29, beating Wall Street expectations.
The proposed USI acquisition would also mark another major exit for KKR, which has recently completed several asset sales, including CoolIT and Circor’s commercial and defense aerospace business.
Aon USI deal, KKR USI sale, insurance industry consolidation and private equity exits are being closely watched by investors.
