SRG Group, a Perth-headquartered broker in which AUB’s Austbrokers owns a 50% stake, has acquired corporate insurance broking specialist Gibbscorp for an undisclosed amount.

SRG MD Rod Fitzgerald says the acquisition will transform the business into a significant player in the insurance broking risk and advisory sector.

He told insuranceNEWS.com.au today the move is expected to increase SRG’s gross written premium by about $20 million. The combined group will have approximately 50 staff in WA and Queensland with more than 4000 clients including specialty, SME and corporate customers.

“It really enhances our position in the mid market, and corporate clients segment,” Mr Fitzgerald said. “While Gibbscorp is smaller than SRG, it’s got a lot of mid market and corporate client focus.

“So it's really a specialist in that segment and that's a very, very solid fit for SRG.”

He says the two businesses will take on a “dual branded strategy for some time” and that clients can expect a more enhanced experience going forward.

“Gibbscorp brings a quality of people and skills we were seeking to complement our team, while SRG provides additional services and resources that Gibbscorp was seeking to enhance its client service offering,” Mr Fitzgerald said.

“It is rare that the combination of two companies is genuinely greater than the sum of the parts, but given the synergies we will achieve, this is one of those rare cases.”

Gibbscorp will relocate from its office in the Perth suburb of Como to SRG’s CBD premises, with founder and MD Peter Gibbs taking on a board and strategic development role.

CEO Hank Jeuring will become Executive Director, Corporate heading up the corporate division of SRG while former CFO Derrice Dillon has already started in his new role as Head of Finance and Operations.

Mr Gibbs says he is upbeat about what the move will mean for the business.

“We have significant growth opportunities that previously were on hold due to the shortage of resources,” he said. “The combined strength of Gibbscorp and SRG will ensure we are a major player in the Australian market.

“We have ambitious growth expectations, and we will be putting the strategic plans into motion.”

Established in 2006, Gibbscorp offers a range of products such as SME Business Insurance Pack, Directors’ and Officers’, Liability and Strata.