Consultancy group Barnett Waddingham has been acquired by employee benefits adviser and insurance broker Howden in a move that the two companies say will create “one of the largest pensions and employee benefits consultancies in the UK”.
The deal will double Howden’s workforce and significantly boost its presence in the pensions consulting sector, it said, as well as establishing a “platform for expansion in global markets”. Howden is also an insurance and reinsurance broker and adviser.
The terms of the deal were not disclosed. It is the latest in a flurry of acquisition activity within the consultancy space, with major deals over the past year including Mercer’s acquisition of Cardano, Gallagher buying Redington, and Isio taking on K3 Advisory.
Andrew Vaughan, senior partner at Barnett Waddingham, said joining with Howden would strengthen Barnett Waddingham’s service provision, including through greater use of technology.
“As we reflect on 35 years of continuous growth and development at Barnett Waddingham, we are proud of the heritage and principles that have made us who we are – people-centricity, partnering with clients and the delivery of high-quality services,” Vaughan added. “As we join Howden, we look forward to combining our strengths to build something even greater together.”
Glenn Thomas, chief executive of Howden’s UK Health & Employee Benefits business, said: “Barnett Waddingham’s extensive pensions expertise, together with Howden’s market leading presence in the health and employee benefits market, creates a full-service proposition and one of the largest pensions and employee benefits consultancies in the UK, with one of the most extensive global footprints in the market.
“The combination brings together two leading businesses with an exceptional cultural fit, and the acquisition reflects Howden’s deep commitment to investing in its employee benefits advisory capabilities.”
Howden looks to expand UK footprint
David Howden, chief executive officer at Howden, said his firm had been searching for “the right partner” to help create “a world-class employee benefits business”.
The addition of Barnett Waddingham’s team would bring Howden’s workforce to 10,000 people across more than 200 office locations.
“Together, we will take a leading position in our home markets of the UK and Ireland in employee benefits as well as in insurance broking,” the CEO added.
“We’re serving millions of individuals, businesses and organisations, including over two thirds of the FTSE 100, bringing the same unique energy and approach to all our clients.”
Barnett Waddingham is currently structured as a limited liability partnership. David Howden said the partners would “reinvest significantly” into their new owners, “underlining their commitment to a long-term future with us, and delivering extraordinary alignment for our future ambitions”.
Howden is jointly owned by private equity company General Atlantic, Canadian public pension fund CDPQ, software and services specialist investor Hg Capital, and the Howden Foundation.
