The transaction is expected to close in the fourth quarter and will significantly strengthen Gallagher Re’s presence in Australia while extending its reach across the Asia Pacific region.

Although the financial terms of the deal have not been disclosed, banking and reinsurance sources said the acquisition marks another milestone in Gallagher Re’s international expansion strategy. It follows a series of recent moves aimed at deepening the company’s global platform and enhancing its regional capabilities.

Mark O’Brien, managing director of APAC at Gallagher Re, confirmed the transaction, saying: “This strategic move will enhance our ability to support a range of clients, including MGAs and mutuals, and gives our local team a level of strength and increased scale.”

Steadfast Re, headquartered in Sydney with an office in London, was launched in late 2014 as a joint venture between Cloney, senior management and ASX-listed intermediary Steadfast Group. The venture was created following Steadfast’s acquisition of a stake in an Australian and New Zealand reinsurance broker that had previously been owned by Beach Capital Holdings.

Cloney has been managing director of Beach in Australia since 2010. In 2014, he initiated a management buyout of Beach Sydney, which was later followed by the joint venture with Steadfast. Steadfast Group ultimately owned 50 per cent of the reinsurance intermediary, according to its FY25 results published on August 28.

Heather Bone, CEO of Gallagher Re Australia, said the acquisition builds on a strong cultural alignment between the two businesses. “The Steadfast Re team has a strong cultural alignment to our team, which is critical,” she noted.

Speculation over the future of Steadfast Re has been circulating for more than a year. The broker was previously in talks with Howden Group, although those discussions did not result in a deal.