MDS Brazil to expand with life and pensions broker acquisition

MDS Brazil to expand with life and pensions broker acquisition | Insurance Business New Zealand

Reinsurance

MDS Brazil to expand with life and pensions broker acquisition

The $120 million-deal will be funded by available liquidity

Reinsurance

By
Kenneth Araullo

MDS Brazil, a reinsurance broker subsidiary of Ardonagh-owned MDS Group, has announced its intention to acquire D’Or Consultoria, a broker specializing in health, dental, life insurance, and pensions from Rede D’Or Sao Luiz.

The transaction, valued at R$800 million ($123 million), is subject to approval by the Administrative Council for Economic Defense (CADE) and other regulatory approvals. Ardonagh plans to fund the acquisition through the group’s available liquidity.

Upon completion, Ariel Couto, CEO of MDS Brazil, will lead the combined operation. The executive team of D’Or Consultoria, led by CEO Bruno Iannuzzi, will remain with the company to ensure continuity of service and continued business growth.

Currently, MDS Brazil manages approximately R$4 billion ($0.62 billion) in premiums. With the acquisition of D’Or Consultoria, MDS Brazil is set for a major expansion in the corporate benefits segment.

D’Or Consultoria, meanwhile, serves about 2.5 million users with its health plan portfolio. The combined entity will manage more than R$8 billion ($1.3 billion) in gross written premiums, positioning it as one of the largest brokers in Brazil, focused on risk management and consultancy. Until regulatory approval is granted, both companies will continue to operate independently.

This acquisition is part of MDS’ expansion strategy in Brazil and Latin America, adding to 12 acquisitions in Brazil and one in Chile over the past five years.

Jose Manuel Fonseca, CEO of MDS Group, stated that he is excited to welcome the D’Or team, noting their industry expertise and dedication to service.

“Their deep industry knowledge and commitment to service excellence combined with the scale of MDS globally will unlock many new opportunities to deliver value to our customers in Brazil,” he said.

Ariel Couto, CEO of MDS Brazil, said the transaction strengthens their regional strategy and enhances their presence in the Latin American market with advanced solutions tailored to client needs.

“The arrival of D’Or’s experienced leadership team and proprietary technology will significantly elevate our benefits and health proposition. Drawing on their legacy in the market and combining it with our own, MDS is poised to solidify our position as one of the leading brokers in Brazil and Latam,” Couto said.

Bruno Iannuzzi, CEO of D’Or Consultoria, also expressed excitement about the new chapter for D’Or, believing it will provide long-term value for employees, customers, and partners.

“The transaction will allow for a differentiated and more complete offering to our clients and market in general, while contributing for the development of the economy and the society of one the biggest economies and insurance markets in the world,” Iannuzzi said.

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