Infusion of Funds Will Aid Aggressive Growth Goals
While mergers and acquisition activity may have slowed down across the country this past quarter, Patriot Growth Insurances continues to be bullish on its plans to continue its aggressive organic growth and acquisition strategy. To wit, the company announced this month that it has secured an addition $500 million as a result of its latest funding round.
“Despite the current economic turbulence throughout the U.S., and worsening geopolitical conditions abroad, Patriot continues to attract the best and fastest-growing agencies in the country,” said Matt Gardner, Chairman and CEO of Patriot. “Our business model is truly unique, and the capital raised in this round of funding validates our approach to building a national insurance services platform. We appreciate the continued support of our lending partners in helping us exceed our aggressive growth goals.”
According to the announcements, the additional capital raised represents a significant expansion of Patriot’s existing debt facility. The funding round was led by Golub Capital and jointly arranged by Antares Capital, both existing lenders to Patriot.
“We have a deep partnership with Patriot and GI Partners and are delighted to once again support Patriot’s continued growth,” said Spyro Alexopoulos, Co-Head of Direct Lending at Golub Capital. “The flexibility we can provide to growing companies like Patriot further demonstrates the strength and scalability of the Golub Capital platform.”
Patriot Growth Insurance’s presence in Massachusetts
Founded in 2019 by Chairman and CEO Matt Gardner and backed by private equity firms GI Partners and Summit Partners, Patriot is based in Fort Washington, Penn., and was recently ranked as the 26th largest insurance broker in the United States by Business Insurance magazine.
Patriot has differentiated itself in an intensely competitive marketplace through its unique and highly entrepreneurial operating model, partnering exclusively with thriving, high-growth property/casualty and employee benefits insurance agencies. In Massachusetts, the company partnered with FBinsure, in 2021, which became its first New England partner. It now acts as the company’s headquarters in the region.
A Business model where agencies maintain their operational autonomy and name
As the company explained to Agency Checklists back in 2021, under Patriot’s business model, agencies partnering with Patriot maintain their local identity, culture, and autonomy while leveraging Patriot’s national resources to deliver high-quality customer service. The ideal acquisition partner candidates for Patriot are those who desire to continue to run their organizations on a day-to-day basis while preserving their brand and the agency’s legacy.
“We think in the local markets…those agency names mean a lot and have a lot of brand equity, and a lot of times, the agency principals have their names on the door. That means a lot in their communities, so we believe strongly in retaining those local brands and those legacies.”
To date, the company counts more than 1,700+ employees in 130 offices across 26 states.