Lee Equity Partners closes $1.6bn reinvestment in McLarens Global

Lee Equity Partners, LLC, a middle-market private equity firm, has announced the closing of a $1.6 billion reinvestment in McLarens Global Limited, a global independent provider of insurance services, extending its long-term partnership.

Founded in 1932, McLarens provides insurance services spanning claims adjusting, risk consulting, auditing, and pre-risk surveying. The company delivers locally responsive yet globally integrated solutions across complex and niche market segments.

The transaction gives existing shareholders the option to receive liquidity or remain invested. It also provides McLarens with access to significant new growth capital to support the continued execution of its growth strategy.

The recapitalisation was led by a new investment from Lee Equity’s most recent fund, Lee Equity Partners Fund IV, LP, and supported by participation from several blue-chip institutional investors.

Lee Equity initially partnered with McLarens’ management team in December 2018 through an investment from Lee Equity Partners Fund III, LP. Since then, McLarens has more than tripled in size, expanded its geographic presence, and added new service lines and specialties through strong organic growth as well as 18 strategic acquisitions.

Gary Brown, CEO of McLarens, said, “Our partnership with Lee Equity has been instrumental in driving McLarens’ growth and transformation.

“Their support has allowed us to make the investments in talent, technology and capabilities necessary to maintain our world class levels of client service in a rapidly changing insurance market. We look forward to building on this momentum as we enter our next phase of growth.”

Mark Mauceri, Partner at Lee Equity, added, “Our continued investment in McLarens reflects the strength of our partnership and the exceptional results Gary and the McLarens team have achieved to date.

“We’re excited to support the Company as it continues to expand globally, enhance its service offerings, and build on its market leading reputation for excellence in complex claims management.”

Evercore served as financial advisor, and Weil, Gotshal & Manges served as legal advisor to Lee Equity on the transaction.