Gallagher Re, the reinsurance broking arm of Arthur J. Gallagher, has agreed to acquire Steadfast Re, the Sydney-based reinsurance broker launched a decade ago as a joint venture between industry veteran Simon Cloney and Steadfast Group. Terms of the deal were not disclosed.
The transaction, expected to close in the fourth quarter, will significantly expand Gallagher Re’s presence in Australia and strengthen its reach across Asia Pacific.
Mark O’Brien, managing director of APAC at Gallagher Re, said the move enhances the firm’s ability to serve a broader range of clients, including MGAs and mutuals, while giving the local operation “strength and increased scale.”
Steadfast Re was established in 2014 after Cloney, who had led Beach’s Australian operations since 2010, completed a management buyout of Beach Sydney.
That deal paved the way for a joint venture with ASX-listed Steadfast Group, which ultimately held a 50% stake in the intermediary. The firm has operated out of Sydney and London, focusing on reinsurance solutions for regional and international clients.
Heather Bone, CEO of Gallagher Re Australia, said the two firms share a strong cultural alignment.
The Steadfast Re team has a strong cultural alignment to our team, which is critical
Heather Bone, CEO of Gallagher Re Australia
The deal comes after months of speculation about Steadfast Re’s future. The broker was previously linked to acquisition talks with Howden Group, but those discussions did not result in a transaction.
For Gallagher Re, the acquisition marks another milestone in its global expansion strategy, following a string of moves to scale up across key markets.
