OAMPS Insurance Brokers has acquired mid-sized brokerage TCIS, which has offices in Adelaide, Brisbane, Melbourne and Sydney.

The acquisition is the first made by the Wesfarmers-owned national broker since Wesfarmers agreed in December to sell most of its insurance operations to IAG.

OAMPS CEO Mike Cutter acknowledges the recent sale of the Wesfarmers Insurance underwriting businesses has raised market conjecture on the future for OAMPS and its New Zealand broking counterpart Crombie Lockwood, but insists his focus is solely on “realising OAMPS’ huge potential”.

“It’s business as usual,” he told insuranceNEWS.com.au. “Our people are clear on what our strategic direction is.

“After a period of consolidation, which was necessary after acquiring more than 100 companies, we are entering a new phase where the concentration will be on growth, both organically and through strategic acquisitions.”

Wesfarmers CEO Richard Goyder told a briefing on December 16 that the broking companies will be retained within the group following the sale of the insurance companies to IAG, and that Wesfarmers management “really likes the broking business”.

Mr Cutter says the sale discussions with TCIS majority shareholder Ken Bradey “have been ongoing for about a year”.

TCIS will operate under its own brand for some time, but will eventually be folded into the OAMPS national organisation. The TCIS focus on transport industries and recreational motorsport fits well with some of OAMPS’ core businesses.

“We’re open to exploring opportunities with prospective vendors where the cultural and strategic fits align,” Mr Cutter told insuranceNEWS.com.au.

He says OAMPS has “advantages many of our competitors in the acquisition market don’t have”.

“This is important for brokers wanting to sell their businesses with certainty about the way their staff and clients will be handled.”

In September Wesfarmers said revenue and earnings growth in OAMPS in the previous financial year was “challenging”, reflecting difficult trading conditions for SMEs.

The first weekly insuranceNEWS.com.au bulletin for 2014 will be published on February 3.