AUB Group will take full ownership of Adelaide-based MGA Whittles in a $140 million deal.

The acquisition includes buying the 50.1% of MGA that it doesn’t already own as well as 100% of strata specialist Whittles.

“MGA is a fantastic business,” CEO Mike Emmett said today. “As one of Australia’s largest insurance brokers, the acquisition places MGA at the heart of Austbrokers and enables the next phase of our growth.”

The deal includes payment of $29 million in cash on completion and the issue of shares at a price of $12.64 per share.

MGA will continue to operate under its existing management team, including John George as Executive Chairman.

“Selling the MGA Whittles Group in exchange for a significant stake in AUB will allow us to fully leverage our long-term partnership to accelerate the growth of the MGA Whittles group for the benefit of all stakeholders,” Mr George said.

MGA, a member of the Austbrokers network, was formed in 1975 and has grown to a business with more than 40 offices.

AUB also today said it has acquired a 40% interest in online distribution platform BizCover for $132 million.

More details in the regular insuranceNEWS.com.au bulletin this afternoon.