Reliance Global Announces Acquisition of Barra & Associates, a Recognized Provider of Property and Casualty, Life and Health Insurance
April 27 2022 - 11:12AM
via NewMediaWire --
Reliance Global Group,
Inc. (Nasdaq: RELI; RELIW) (“Reliance”, “we” or the
“Company”), which combines artificial intelligence (AI) and
cloud-based technologies with the personalized experience of a
traditional insurance agency, today announced it has acquired Barra
& Associates, a recognized provider of both personal and
commercial insurance products, including property and casualty
insurance, life insurance, health insurance and other insurance
products. The Company acquired Barra & Associates for
approximately, $7.5 million, comprised of cash and debt. Following
the transaction, Grant Barra, founder and CEO of Barra &
Associates, will continue to oversee the Barra & Associates
subsidiary, as well as other senior responsibilities within the
Company.
Ezra Beyman, CEO of Reliance Global Group,
commented, “We are very excited to announce this highly strategic
acquisition of Barra & Associates, which is complementary to
our existing offerings and supports our nationwide expansion
plans. This type of transaction, which we have been targeting
for some time, adds over 60 agents and agency partners, which we
can scale both rapidly and cost-effectively. Moreover, Barra brings
an advanced technology infrastructure that is aligned with our
acquisition strategy. By combining our own tech stack,
including 5MinuteInsure.com, we look forward to creating
synergies for growth, including the affiliated-agent business
model. Barra & Associates already has a solid track record of
growth and profitability. In 2021 alone, we estimate Barra &
Associates generated over $700K of EBITDA. The fact we were able to
consummate this acquisition for cash and debt, with no equity
dilution, reinforces the strength of our balance sheet and the cash
flow of our combined portfolio companies. Moreover, we believe this
transaction further illustrates our ability to acquire synergistic
and accretive businesses at attractive multiples. Combined
with our recent acquisition of Medigap in January 2022, we are
executing on our strategy, resulting in strong revenue growth and
improved profitability.”
Grant Barra, CEO of Barra & Associates,
further noted, “I could not be more excited to join Reliance Global
Group during this period of rapid nationwide expansion. By
leveraging the 5MinuteInsure.com platform, we look forward to
introducing new InsurTech offerings to our agents and agency
partners that we believe will make it significantly easier to drive
revenue. Reliance brings tremendous resources, industry
talent and access to capital that we believe will enable us to
further accelerate growth.”
Additional details on the transaction will be
available in the Company’s Form 8-K, which is expected to be filed
with the U.S. Securities & Exchange Commission.
About Reliance Global Group, Inc.
Reliance Global Group, Inc. (NASDAQ: RELI, RELIW)
is combining advanced technologies, with the personalized
experience of a traditional insurance agency model. Reliance Global
Group’s growth strategy includes both an organic expansion,
including through 5MinuteInsure.com, as well as acquiring well
managed, undervalued and cash flow positive insurance agencies.
Additional information about the Company is available
at https://www.relianceglobalgroup.com/.
Forward-Looking Statements
This press release contains forward-looking
statements within the meaning of the "safe harbor" provisions of
the Private Securities Litigation Reform Act of 1995. Statements
other than statements of historical facts included in this press
release may constitute forward-looking statements and are not
guarantees of future performance, condition or results and involve
a number of risks and uncertainties. Actual results may differ
materially from those in the forward-looking statements as a result
of a number of factors, including those described from time to time
in our filings with the Securities and Exchange Commission and
elsewhere. The Company undertakes no duty to update any
forward-looking statement made herein. All forward-looking
statements speak only as of the date of this press release.
Contact:
Crescendo Communications, LLCTel: +1 (212)
671-1020Email: RELI@crescendo-ir.com
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