PEO TRANSACTION ADVISORY

Merlinos & Associates specializes in providing buy-side and sell-side merger & acquisition due diligence and other transaction advisory services of professional employer organizations.  Grounded in our experience in the PEO and insurance spaces, we have the ability to assess a PEO’s insurance program in conjunction with their operations, including but not limited to C-suite and external parties. Our support spans more than 10 transactions since late 2019, assisting both financial and strategic parties.

Our PEO team is led by Frank Huang and David Shepherd, both of whom have held Chief Actuary positions prior to Merlinos & Associates, including at one of the biggest PEOs in the country.  Their combined experience also includes underwriting and insurance/PEO operations, providing a unique background from which to advise our clients on complex transaction issues.

EXAMPLES OF THE VALUE WE BRING TO PEO TRANSACTIONS

Providing a PEO owner input that resulted in more reliable and accurate financial data for both seller and buyer to base their valuations, but also presented an actuarially sound risk management framework.

Helping a private equity firm to successfully negotiate financial terms in the purchase of a PEO that were 5% to 7% less than the initial offer.

 

For buy-side transactions, we have been successful providing valuable insight/education into the PEO/insurance business to buyers who have limited or no exposure to PEOs or insurance.

For sell-side transactions, we are able to reduce buy-side concern with effective explanation of our analyses and estimates, bolstered by our reputation on both buy-side and sell-side transactions in the PEO and insurance space

FOR MORE INFORMATION


David Shepherd, FCAS, MAAA
dshepherd@merlinosinc.com
678.684.4842

David has more than 30 years of actuarial and underwriting experience serving a wide range of clients, including PEOs, PEO-only insurers & MGAs, and others.


Frank Huang, FCAS, MAAA
fhuang@merlinosinc.com
678.684.4874

Frank has more than 15 years of actuarial experience serving a wide range of clients, including serving as ADP’s Chief Actuary.

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