Association Member Benefits Advisors (AMBA) expects to acquire as many as three brokerages per year with backing from Genstar Capital, said CEO Steve Cardinal.
The Austin, Texas-based company sells insurance to nearly 500 employee associations and would prefer to bring on brokers that share AMBA’s emphasis in long-lasting client relationships, he said.
AMBA announced two acquisitions in January — Auburn, California-based EJS Insurance Services and Mercer’s associations brokerage.
AMBA is open to all options for recapitalization when the Genstar hold period ends, but it is most likely to return to the private markets for the capital flexibility it offers, Cardinal said.
Because relationships are so important, the brokerage would ultimately prefer capital backing that is least disruptive to its insurance and client advisory business, he said.
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