Brown & Brown To Buy Wright Insurance Group For $602.5 Mln

(RTTNews) - Brown & Brown Inc. (BRO) has agreed to acquire Wright Insurance Group LLC for $602.5 million.

The consideration to be paid for the ownership interests of Wright is $602.5 million, which includes cash payments of $587.5 million for the Programs Business, $7.5 million for Wright National Flood Insurance Company and $7.5 million for WNFIC statutory surplus.

Brown & Brown anticipates the transaction will yield future tax benefits in the amount of $108 million.

The transaction is expected to close in April 2014 and is subject to customary closing conditions, including related regulatory approvals.

The company expects the acquisition to improve its earnings by $0.09 to $0.10 in the next fiscal year.