Reliance Global Group acquires Medigap
Reliance Global Group comleted the acquisition of Medigap for around $20.1 million, consisting of both cash and restricted common stock of Reliance Global Group.
The Boca Raton-based agency specializes in Medicare supplement insurance and has generated revenue of approximately $7 million for the trailing twelve months ended September 30, 2021.
“The acquisition of Medigap is a major milestone for the Company as it immediately increases our revenues by approximately 70%, significantly expands our geographic footprint and broadens our capabilities within the Medicare supplement market. Medigap is one of the nation’s fastest growing providers of Medicare supplemental insurance coverage with licenses and doing business in 47 states. Our goal is to aggressively expand their operations, as well as capitalize on cross-selling opportunities across our existing portfolio companies. Importantly, we believe this acquisition will be highly accretive and we anticipate significant operating synergies to further enhance profitability. This acquisition builds upon our successful track record of acquiring growing, cash flow positive agencies at attractive multiples. I would especially like to thank the Reliance and Medigap teams for their exceptional efforts, which enabled us to close this acquisition ahead of schedule.” – Ezra Beyman, CEO of Reliance Global Group.