Chief executive David Ross says Ardonagh is an ‘international broking powerhouse’

Middle East oil giant Abu Dhabi Investment Authority (ADIA) has backed Ardonagh with fresh investment, giving the firm an enterprise value of $7.5bn (£5.6bn)

The Abu Dhabi subsidiary and several global institutions are fresh investors for the broker, led by existing private equity partners Madison Dearborn Partners (MDP) and HPS Investment Partners.

The ADIA is a government-owned sovereign wealth fund that invests globally on behalf of the Middle Eastern emirate. It has an estimated $649bn in assets.

Ardonagh’s fresh investors will buy up equity worth more than $1bn, while previous private equity partners will reinvest.

The private equity partners will also manage the funds from the institutional investors. 

Ardonagh’s chief executive David Ross described Ardonagh as an ”international broking powerhouse”. 

He added: ”Today is a major milestone in Ardonagh’s journey and the achievement belongs to our greatest asset - every one of our people.”

MDP managing director Vahe Dombalagian added: ”Ardonagh has ample opportunity to continue to build on its platform and increase its reach and profitability and by increasing our investment today, we are reaffirming our commitment to continue supporting those efforts.”

The deal is expected to close in the first half of 2022. 

Fenchurch Advisory Partners is acting as the exclusive financial advisor to Ardonagh.