Marsh chief rules out sale
LONDON (Reuters) ? Marsh & McLennan Cos. Inc. is not for sale, the chief executive of the firm?s insurance brokerage arm said in a newspaper interview, after reports yesterday that at least two private equity companies were seeking to buy it.
Brian Storms, who heads Marsh Inc., told the Financial Times his company was ?absolutely not? for sale and neither was its parent, MMC.
?There is no interest on our part in selling the company to anybody. Not a strategic or financial buyer,? he said.
Storms refused to comment on an approach earlier this year by the insurance broker Willis and Kohlberg Kravis and Roberts (KKR), which was rejected by the MMC board, the FT said.
An anonymous person familiar with the situation, however, told the newspaper that Willis and KKR were still interested in Marsh & McLennan, one of the world?s largest insurers with annual revenue of $12 billion and some 55,000 employees.
The Times newspaper, meanwhile, reported that KKR and at least one other private equity firm were seeking to buy the financial services company and split it into four parts.
Kohlberg Kravis Roberts was in talks with Marsh until very recently, the Times said, citing an unnamed senior source close to the now terminated discussions.
The newspaper said KKR declined to comment but added that a source close to the firm confirmed the talks had occurred.
The Times also reported that Willis, supported by KKR, had approached MMC earlier in the year.
Furthermore, it said at least one other private equity firm, which it did not name, had tried to start talks with MMC Chief Executive Michael Cherkasky about a deal to divide the company.
MMC also operates Kroll risk consulting and Mercer human resource consulting units.
The Times, without citing sources, reported that Jules Kroll, chairman of Kroll, who sold his business to Marsh two years ago, wanted the company to become private.
