The Newport Group, Inc. and its affiliates will be acquiring the Greensboro, North Carolina, operations of Clark Consulting, LLC, and its broker-dealer Clark Securities, Inc.
This will make Newport the largest administrator of bank-owned life insurance (BOLI) and corporate-owned life insurance (COLI) in the nation, according to the announcement. BOLI and COLI are used to recover the costs of supplemental employee health and nonqualified retirement plans.
“We are excited about the opportunity to leverage our combined capabilities and best practices, which will provide our clients with deeper resources and service offerings,” says Newport President Peter Cahall. “Clark Consulting has been an innovative leader in BOLI and COLI service for decades, and we look forward to welcoming their Greensboro team to Newport.”
In combination with the Clark business, Newport’s COLI/BOLI client assets will rise to more than $65 billion. Newport will maintain its current office in Greensboro, while exploring opportunities to leverage the combined COLI and BOLI operations. Following the closing of the transaction, the Clark business will continue to be serviced by the same team.
“This acquisition is part of our broader strategy to position Newport and our affiliate Verisight as leading providers in retirement, insurance, and consulting services,” Newport Chief Executive Officer Greg Tschider says. “Not only does this firmly establish Newport as the leader in the BOLI marketplace, it better positions our organization for continued growth across all of our business lines.”
The transaction is expected to be completed in 30 to 60 days, subject to customary regulatory approvals.