Transaction overview
On September 15, 2022, Swiss-based independent insurance broker Howden Broking acquired a majority stake in Born Consulting AG, an independent insurance broker based in Bern, Switzerland. While the financial details of the deal were not disclosed, Howden secured full ownership (100%) of Born Consulting to expand its market presence in Switzerland. The transaction closed on the same day as it was announced.
Deal structure and financing
The acquisition's financing specifics remain undisclosed; however, given the size of both companies and typical practices in the insurance brokerage industry, it is likely that Howden utilized a combination of equity and debt to fund the deal. The lead investment banks involved were not revealed. Considering the full ownership stake acquired by Howden, there was no seller retained stake or lock-up terms mentioned as part of the transaction. The possibility of an IPO for Born Consulting does not appear to be on the horizon given that Howden has taken complete control.
Strategic context
Howden's acquisition of Born Consulting is driven by its strategy to strengthen its presence in Switzerland and leverage Born Consulting’s local expertise within a highly competitive market. Born Consulting, founded in 2003, offers specialized services for national and international intermediaries, large companies, and the public sector, which complements Howden's existing portfolio and expands its reach among Swiss clients. This move enables Howden to offer enhanced client experiences by integrating Born Consulting’s local know-how with Howden’s extensive network across 45 countries.
For Born Consulting, the rationale behind divesting control is to secure a partner that can support further growth while maintaining an entrepreneurial spirit and commitment to client-focused services. With Howden’s backing, Born Consulting will benefit from expanded resources and international expertise without losing its local identity or operational independence.
Regulatory path
As of the public announcement, no specific regulatory reviews for this acquisition have been disclosed. Given Switzerland's regulatory landscape and the nature of cross-border insurance deals within the European Economic Area (EEA), it is likely that Howden would need to comply with Swiss financial market regulations and possibly EEA requirements. However, without further details on any remedies required or timelines, exact regulatory actions remain speculative.