Altegrity to buy Kroll Inc from Marsh & McLennan for $1.13 billion

Global screening and security solutions company Altegrity Inc, yesterday said it is buying Kroll Inc, risk consulting company from Marsh & McLennan Cos Inc, the second- largest insurance broker in the US, for $1.13 billion in cash.

Altegrity, based in Falls Church, Virginia and owned by private equity firm Providence Equity Partners, is the largest commercial provider of background investigations for the government, commercial employment background and drug screening supplier to more than 25 per cent of the Fortune 500.

It is one of the principal providers of data services to the insurance industry; and a leading provider of high quality due diligence, investigative, analytic, consulting, intelligence, and security solutions to organisations and multinational corporations around the world.

Kroll is the world's leading risk consulting company that provides a broad range of investigative, intelligence, financial, security and technology services to help clients reduce risks.

Headquartered in New York with offices in more than 55 cities in over 27 countries, Kroll has more than 3,000 employees and serves a global clientele of law firms, financial institutions, corporations, non-profit institutions, government agencies, and individuals.

Following the completion of the transaction, Altegrity will have approximately 11,000 employees across 30 countries.

Altegrity CEO Mike Cherkasky, said, "Altegrity and Kroll will leverage their combined resources to develop new and innovative solutions for government and commercial clients across a global platform."

"This transaction represents exciting new opportunities for Kroll," said Ben Allen, CEO of Kroll. "Over the past several years, we have taken significant steps to improve profitability and enhance collaboration across our business units. Kroll is now poised to continue its historical track record of growth, which will be accelerated by the combination with Providence and Altegrity."