- Creates a market leading warranty protection provider with significant growth opportunities - Broadens network of distribution partners, dealers and OEMs - Expands product offerings and broadens geographic presence
NEW YORK and SCHAUMBURG, Ill., Sept. 3, 2019 /PRNewswire/ -- Amynta Group, a premier insurance services company and provider of warranty protection products and services, has entered into an agreement to acquire American Auto Guardian, Inc. (AAGI), a leading provider of protection products and services to an extensive network of automotive Original Equipment Manufacturers (OEMs), agents, independent auto dealers and dealer groups. Terms of the transaction were not disclosed. The transaction will be funded by a combination of debt, cash on hand and new equity invested by existing shareholders and Amynta management. Closing of the transaction is subject to customary conditions and regulatory approvals.
AAGI is a recognized leader in developing, marketing and administering vehicle service contracts and other automotive aftermarket protection products. The company operates through approximately 250 distribution partners and serves more than 4,500 dealers across the U.S. The acquisition of AAGI aligns with Amynta's commitment to provide best-in-class products and services to its distribution partners and dealers. Together with AAGI, Amynta will serve approximately 15,000 dealerships in the U.S. and Canada through more than 1,400 agents, protecting more than 5.4 million vehicles. AAGI will continue to operate under the leadership of Tim Brugh and the company's senior management team.
"AAGI has built an outstanding company over 20 years, focused on consistently delivering performance to their distribution partners and dealers, with a successful track record of growth and profitability under the leadership of Tim Brugh," said Rob Giammarco, Chairman and CEO of Amynta. "AAGI brings new distribution partners, OEM relationships, dealer networks and geographic reach, broadening our presence, particularly in the Midwest. AAGI expands our warranty offerings, providing incremental opportunities to drive growth across our business."
"Joining forces with Amynta is a great opportunity for AAGI, as the enhanced scale and reach will help us deliver even more capabilities to our distribution partners and dealers. I see many new opportunities for our clients, partners and employees," said Tim Brugh, CEO of AAGI. "We are looking forward to joining Amynta and continuing to provide our clients and partners with best-in-class products and services and the ease of doing business they have come to expect."
BofA Merrill Lynch and MHT Partners served as financial advisors to Amynta, and Kirkland & Ellis LLP served as legal advisor. Houlihan Lokey served as financial advisor to AAGI, and Bryan Cave Leighton Paisner LLP served as legal advisor.
About Amynta Amynta Group is a premier insurance services company with more than $1.8 billion in managed premium and 2,000 associates across North America, Europe and Australia. An independent, customer-centered and underwriting-focused company, Amynta serves leading carriers, wholesalers, retail agencies, auto dealers, OEMs, and consumer product retailers with innovative insurance and warranty protection solutions. Amynta operates through three segments: Managing General Agencies; Warranty, including automotive, consumer and specialty equipment; and Specialty Risk. For more information, please visit amyntagroup.com.
About AAGI AAGI is an industry leader in developing, marketing, administering vehicle service contracts and other automotive protection products throughout the United States. AAGI offers superior products backed by long-term relationships with "A" rated insurers. Since 1997, AAGI has been committed to providing customer focused solutions, together with personal and responsive and efficient service to its Agent, Dealer and OEM customers. For additional information, please visit aagi.com.