Onex makes US $175M strategic investment in Ryan Specialty Group

Onex Corporation (TSX: ONEX) has made a $175 million investment and formed a strategic long-term relationship with Ryan Specialty Group, LLC.

The investment, made by Onex directly and not through its sponsored funds, consisted of US $150 million of preferred equity and US $25 million of common equity. Other financial details were not disclosed.

Chicago based Ryan Specialty Group (RSG) intends to use new funding to continue RSG’s successful growth strategy and M&A activity.

Founded in 2010 by Chairman and CEO Pat Ryan, the founder and former Chairman and CEO of Aon Corporation, RSG is a leading international specialty insurance organization, which includes a wholesale brokerage firm (RT Specialty) and an underwriting management organization (RSG Underwriting Managers), comprised of 22 individual underwriting companies.

photo credit: RSG

News Release

– Onex Invests in Ryan Specialty Group –

Toronto, June 4, 2018 – Onex Corporation (“Onex”) (TSX: ONEX) today announced it has made a $175 million investment to form a strategic, long-term relationship with Ryan Specialty Group, LLC (“RSG”). The investment, comprised of $150 million of preferred equity and $25 million of common equity, was made by Onex and not through one of its sponsored funds.

Founded in 2010, RSG is a leading international specialty insurance organization, which includes a wholesale brokerage firm (RT Specialty) and an underwriting management organization (RSG Underwriting Managers), comprised of 22 individual underwriting companies. In its brief history, RSG has achieved extraordinary growth by establishing itself as a preferred partner of clients and an ideal platform for brokers and underwriters.

“RSG is an outstanding organization led by Pat Ryan, an icon in the insurance industry,” said Bobby Le Blanc, a Senior Managing Director with Onex. “RSG has recruited top talent who has grown the business at an impressive rate. We’re delighted to partner with Pat and his team to support their growth plans for years to come.”

“I have known Bobby and Onex for 15 years and have tremendous respect for them,” said Pat Ryan, Founder, Chairman and CEO of RSG. “Onex has a terrific track record of investing in insurance businesses and is the ideal partner for us. This investment will enable us to continue our strong organic growth and our history of successful acquisitions.”

About Onex

Onex is one of the oldest and most successful private equity firms. Through its Onex Partners and ONCAP private equity funds, Onex acquires and builds high-quality businesses in partnership with talented management teams. At Onex Credit, Onex manages and invests in leveraged loans, collateralized loan obligations and other credit securities. Onex has more than $32 billion of assets under management, including $6.7 billion of Onex proprietary capital, in private equity and credit securities. With offices in Toronto, New York, New Jersey and London, Onex and the team are collectively the largest investors across Onex’ platforms.

Onex’ businesses have assets of $49 billion, generate annual revenues of $31 billion and employ approximately 207,000 people worldwide. Onex shares trade on the Toronto Stock Exchange under the stock symbol ONEX. For more information on Onex, visit its website at www.onex.com. Onex’ security filings can also be accessed at www.sedar.com.

For further information:
Emilie Blouin
Director, Investor Relations
Tel: 416.362.7711

Ted Liu

Ted Liu, M.Sc. (Mining, Queen's), MBA (Finance, Toronto), is the Editor of Private Capital Journal, CanadaMetals.ca, TechWire.ca, and the former Editor of Canadian Private Equity. Ted has been passionately tracking Canadian private capital industry since 1992, having most recently served as Research Director for The Canadian Venture Capital and Private Equity Association (CVCA).

Ted is the architect of CVCA infobase, and is the architect of CPE Media's Financings.ca, Canada's most sophisticated and advanced all private capital and public market financing database.