Marsh & McLennan Companies (MMC), Mercer’s parent company, has reached an agreement to purchase JLT for $5.6bn (£4.3bn).
The deal has been approved by both companies' boards of directors and holders of JLT’s common shares will receive £19.15 per share. It will be funded by cash on hand and proceeds from debt financing.
The transaction is intended to be effected by means of a UK court-sanctioned scheme of arrangement and is expected to close in spring of 2019.
MMC hopes that the move will help the company become the preeminent global firm in risk, strategy and people.
MMC president and chief executive officer, Dan Glaser said: “The acquisition of Jardine Lloyd Thompson creates a compelling value proposition for our clients, our colleagues and our shareholders. The complementary fit between our companies creates a platform to deliver exceptional service to clients and opportunities for our colleagues.”
Once the transaction is complete, current JLT group chief executive, Dominic Burke will join MMC as vice chairman and serve as a member of MMC’s executive committee.
He commented: “I am enormously proud of what JLT has achieved, founded on our people, our culture and our unwavering commitment to our clients. MMC is, and always has been, one of our most respected competitors and I believe that, combined, we will create a group that will truly stand as a beacon for our industry.”