Mercer announced today that it has signed a definitive agreement to become the sole shareholder of REPCA, a brokering and advising firm for employer health and benefits plans. The transaction will increase the scale of Mercer in France, strengthening its existing position as fourth in share of the French marketplace for private employee benefit plans and second in share of third-party administration of health and benefits plans.
The transaction is expected to close in the first quarter of 2012. Terms of the agreement were not disclosed.
REPCA is a solid, fast-growing health and benefits broker headquartered in Paris, France, with an excellent reputation in the French market. It also provides advisory services and third party administration services for health and benefits plans. REPCA principal owners, Gilles Zeitoun and Georges-Henri Levy will continue to work with Mercer after the transaction closes.
Rising health care costs and the risk of diminishing employee productivity due to health issues are among the most significant issues facing employers today. Added to that burden is the need to navigate the changes French social security is undergoing and to comply with recent pension reform, making Mercer’s capabilities in health and benefits plans advisory of key importance to employers.
“The transaction shows Mercer’s commitment in the diverse areas of wellness, health and disease management, as employers seek to balance controlling the escalating costs of benefits with engaging and retaining talent. In this environment increasingly smart solutions are required,” said Gilles Beneplanc, Head of EMEA for Mercer and President of the French company. “REPCA’s client reputation is strong and fits perfectly with our French business, and our combined strength will increase our leverage in negotiations with insurers to obtain ever-better rates for our clients and their plan beneficiaries. Finally, we are very pleased that the high-quality professionals from REPCA will further strengthen Mercer’s well-regarded team in France.”
Gilles Zeitoun and Georges-Henri Levy observed that the transaction is “consistent with the strategy designed a few years ago for the firm, to give it a strong global reach. Continuity of our reputation for quality will be assured through maintaining the teams dedicated to our clients, who will moreover benefit from the large range of global services offered by Mercer in the field of human resources consulting.”
• The transaction strengthens Mercer’s leadership position in the French marketplace
• REPCA is a solid, fast growing health and benefits broker headquartered in Paris, France, with an excellent reputation in the French market
• Gilles Zeitoun and Georges-Henri Levy, REPCA principal owners, will continue to work with Mercer after the transaction closes
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