Varnum Represents Acrisure in $400M Acquisition of Artificial Intelligence Leader
Acrisure, the world's fastest growing global insurance brokerage, recently agreed to acquire the insurance practice of artificial intelligence leader Tulco, LLC. The acquisition builds on a successful year-long partnership in which the two firms formed a fully-AI backed brokerage focused on individual health benefits.
Announced July 29, the deal is designed to bring best-in-class data science, AI and machine learning capabilities to the insurance brokerage industry. The new technology infrastructure will allow Acrisure to rapidly innovate the product development ,insurance sales and marketing process across its portfolio of agency partners.
Valued at $400 million, the deal is structured as a stock-for-stock trade and will result in Tulco becoming a significant minority shareholder in Acrisure upon closing. Varnum represented Acrisure in all aspects of the transaction. The Varnum team was led by corporate partners Michael Wooldridge and Seth Ashby and included associates Matthew Maltz and Christopher George, as well as partners Katie Roskam (tax), John Arendshorst (employee benefits) and Charles Gray (intellectual property).
West Michigan-based Acrisure is a top 10 global broker that has increased annual revenue from $650 million in 2017 to more than $2 billion today. In recent years, Acrisure has completed more than 500 acquisitions, with Varnum serving as legal counsel in nearly all of these transactions.
Pittsburgh-based Tulco, LLC is an alternative investing platform, structured as a holding company that was established to disrupt large sectors of the economy. Tulco uses a partnership model between its subsidiaries and Tulco’s in-house AI lab to unlock significant value.