Jobs at risk as US group buys JLT in £4.3bn deal

UK insurance broker Jardine Lloyd Thompson (JLT) has been acquired by Us-headquartered Marsh & Mclennan Companies (MMC) in a deal worth £4.3 billion.

The deal values the entirety of JLT at £4.9bn.

Both firms have offices in Scotland. The acquisition could mean the loss of up to 3,750 jobs across the combined companies, as an initial review pointed to duplication “particularly in functional support areas” and outlined a “best of both” approach to the planned integration.

In a stock market announcement, MMC estimated it would achieve cost synergies of some £190 million within three years of the acquisition, “a substantial portion of which could come from headcount reductions, in addition to savings in real estate, IT, outside services and other initiatives”.

MMC plans to maintain its New York base but “expects to have an even larger presence in London and the UK”.