LifeMark Partners and BRAMCO Financial Resources are discussing a blockbuster merger that would create one of the top insurance brokerage firms in the country.
The companies have signed a letter of intent and high-level executives are said to be meeting this week on the deal. Remaining issues include a decision on the new company name and the corporate structure, a source indicated.
If the deal is completed, the new company will be the No. 1 or 2 biggest aggregator of insurance product sales nationally, one industry expert said. BRAMCO is led by President and CEO Michael Hefferon, while William J. Shelow holds the same roles with LifeMark.
Representatives for both companies declined comment on the merger talks. Executives for both companies have layers of approvals needed to seal any deal.
For example, LifeMark is comprised of agency owners and will require shareholder approval of any deal. Shareholders are aware of discussions, and could vote on the merger in the next couple weeks, a source said.
The new company will unite dozens of large independent marketing organizations doing business in all 50 states.
“We would be very pleased if the merger goes through,” said Larry Rybka, chairman and CEO of Valmark Financial Group, a LifeMark partner agency. “I think that it will benefit all groups associated with both Bramco and Lifemark. I also think it’s a tribute to Bill and Mike and they did not let egos get in the way to even consider something like this.”
Founded in 1979, BRAMCO is headquartered in the Houston area.
LifeMark began as LIFE Inc. in the mid-1970s when a group of brokerage agencies got together to share ideas for insurance sales and marketing, as well as the business side of their fledgling agencies.
The group continued to expand and rebranded as LifeMark in the 1990s. By that point, it had evolved as a major sales and marketing entity in the insurance industry.
InsuranceNewsNet Senior Editor John Hilton has covered business and other beats in more than 20 years of daily journalism. John may be reached at [email protected].
© Entire contents copyright 2019 by InsuranceNewsNet.com Inc. All rights reserved. No part of this article may be reprinted without the expressed written consent from InsuranceNewsNet.com.