LGP to invest in insurance brokerage HUB

• Hellman & Friedman will retain a controlling stake in HUB while the company’s management team will continue to hold a significant equity position
• Also, Altas Partners will remain a significant minority shareholder
• Morgan Stanley is serving as financial advisor to HUB while Barclays acted as financial advisor to LGP

Leonard Green & Partners has agreed to make a minority investment in Chicago-based HUB, an insurance brokerage. No financial terms were disclosed.

As a result of this transaction, Hellman & Friedman will retain a controlling stake in HUB while the company’s management team will continue to hold a significant equity position. Also, Altas Partners will remain a significant minority shareholder and continue to be members of the board. And, in conjunction with their investment, LGP will be joining the board.

“HUB is an exceptional company – a gold-standard specialty-focused insurance broker,” said Hunter Philbrick, Partner at Hellman & Friedman. “H&F takes great pride in our long-term approach with the companies we invest in, and it has been a privilege to support HUB’s incredible growth journey over almost a decade.”

The transaction is expected to close in the third quarter of this year.

Morgan Stanley is serving as financial advisor to HUB while Barclays acted as financial advisor to LGP.

Based in Los Angeles, LGP has $70 billion of assets under management. The firm primarily focuses on companies providing services, including consumer, healthcare, and business services, as well as retail, distribution and industrials.