Managing general agency Financial Horizons Group has just grown bigger. The company has announced the purchase of R.G. Packman & Associates, an Ottawa-based MGA.
The transaction involved the purchase of 100% of the shares of R.G. Packman & Associates by Kitchener-based Financial Horizons Group in exchange for cash and shares in the holding company of Financial Horizons Group, explained a press release issued today. The transaction closed on Feb. 28.
The press statement added that R.G. Packman’s management team, office and staff will remain essentially unchanged and “business as usual” for the staff and advisors.
John Hamilton, president & CEO of Financial Horizons Group called the acquisition “another strategic step in the growth of Financial Horizons Group as the leading MGA in Canada.”
Robert Packman president & CEO of R.G. Packman & Associates added, “After extensive research of major MGAs in the Canadian marketplace, I decided that Financial Horizons Group was the perfect fit for my growing business. R.G. Packman has always provided top level service to our advisors, and joining such a strong MGA will greatly enhance our product offerings and services to our advisors”.
The managing general agency channel has been experiencing a great deal of consolidation due to market conditions, such as mounting regulatory requirements, increasing sales volume requirements from insurance companies and demographics – MGA owners are getting older and looking at their succession plans.
In recent months, Financial Horizons Group has announced a spate of other transactions across the country, including Performance Financial Services Inc. of Saskatoon, Belec & Company Ltd., of Edmonton, Marcolin & Associates of Montreal and S&V Planning Corporation of Victoria.