Portfolio activity / June 19, 2020

Oak Hill Capital and The Carlyle Group Announce Formation of Galway Insurance Holdings

Positions EPIC Insurance Brokers and JenCap for Growth

New York, NY and San Francisco (June 19, 2020) –
Investment firms Oak Hill Capital (Oak Hill) and The Carlyle Group (Carlyle) today announced the formation of Galway Insurance Holdings, a new holding company. Galway launches a new diversified brokerage distribution and underwriting platform on behalf of the Private Equity owners and their respective management teams and employee stakeholders. The foundation of the investment is via Oak Hill’s contribution of #14 ranked retail broker in the US, EPIC Brokers and Consultants into Galway, while Carlyle will contribute Specialty Distribution aggregator #8 ranked JenCap Holdings, a portfolio company of Carlyle Global Financial Services Partners II. The strategy is further amplified by JenCap simultaneously closing the acquisition of Quaker Special Risk, a well-respected wholesaler and MGA with offices in New Jersey, Massachusetts, Florida and North Carolina.

Steve Puccinelli, Managing Partner at Oak Hill, highlighted the entrepreneurial nature of the teams led by John Hahn (EPIC) and John Jennings (JenCap). “This innovative and strategic venture lays the foundation for future successes as we continue navigating the uncharted waters of the current crisis while looking ahead. Combining forces with the Carlyle team adds to our financial strength and service offerings.”

EPIC and JenCap will continue to operate independently while capitalizing on new growth opportunities to expand the strategic and geographic footprint of each firm. Galway will invest in data analytics, technology transformation, reinsurance and innovative risk sharing solutions necessary for the creation of a strategic advantage in a post-COVID-19 environment.

John Hahn, Executive Chairman of EPIC, noted that the structure preserves the independence of the respective businesses while enabling innovation. “We anticipate a significant paradigm shift in the way products are manufactured and distributed in the future, and the Galway structure positions us to respond. We are thrilled to be partnering again with the Carlyle team, and to collaborate with John Jennings and his team.”

Additionally, John Jennings, CEO of JenCap, said, “The ability to maintain our independent operations while engaging in a larger insurance investment opportunity is very inviting for JenCap. I am excited to continue our substantial growth plans and build one of the most diverse wholesale platforms in the industry.” 

John Redett, Managing Director and Co-Head of Carlyle’s Global Financial Services group said, “We’ve had a fantastic partnership with Oak Hill and EPIC and have great confidence in EPIC’s integrated business model and world-class management team in driving continued success. We believe Galway has the in house expertise and industry reputation to identify and source strategic insurance distribution opportunities and is in a great position to drive impactful value creation in the insurance space.” 

About EPIC Insurance Brokers & Consultants

EPIC Holdings, Inc. is the corporate parent overseeing investments across EPIC’s entire platform. The firm’s core retail insurance brokerage business, EPIC Insurance Brokers & Consultants, provides Property and Casualty, Employee Benefits, Specialty Programs, and Private Client solutions. Its value-based, client-focused culture attracts and retains top talent, fosters employee satisfaction and loyalty, and sustains a high level of customer service excellence. Sponsored by Oak Hill Capital Partners, EPIC is expanding organically and through strategic acquisitions. Visit www.epicbrokers.com to learn more.

About JenCap Holdings

JenCap Holdings is a premier national specialty insurance distribution platform that includes managing general agencies, specialty program administrators, and transactional wholesale brokers. JenCap has assembled a management team with the sector insight and experience to drive organic growth and strategic acquisitions leveraging technology and advanced data analytics. JenCap is headquartered in New York. For more information on JenCap, visit: www.jencapholdings.com.

About Oak Hill Capital

Oak Hill Capital is a private equity firm managing funds with approximately $15 billion of initial capital commitments and co-investments since inception. Over the past 34 years, Oak Hill Capital and its predecessors have invested in over 90 private equity transactions across broad segments of the U.S. and global economies. Oak Hill Capital applies an industry-focused, theme-based approach to investing in the following sectors: Services; Industrials; Media & Communications; and Consumer, Retail & Distribution. Oak Hill works actively in partnership with management to implement strategic and operational initiatives to create franchise value. For more information, please visit: www.oakhill.com

About The Carlyle Group

The Carlyle Group (NASDAQ: CG) is a global investment firm with deep industry expertise that deploys private capital across four business segments: Corporate Private Equity, Real Assets, Global Credit and Investment Solutions. With $217 billion of assets under management as of March 31, 2020, Carlyle’s purpose is to invest wisely and create value on behalf of its investors, portfolio companies and the communities in which we live and invest. The Carlyle Group employs more than 1,775 people in 32 offices across six continents.