west wacker drive skyline in chicago as seen from the city river

Chicago-based insurance brokerage Hub International Ltd. has entered into a partnership with Toronto-based investment firm Altas Partners, Hub announced Wednesday.

Under the agreement, funds managed by Altas will make a “substantial minority investment” in the insurance brokerage, Hub says in a news release.

The terms of the transaction were not disclosed, but Hub says it will bring the company’s total enterprise value to over $10 billion.

Funds managed by Hellman & Friedman (H&F) will remain the largest investor in Hub and the company’s management team will still hold its equity position.

“This transaction is a strong validation of Hub’s strategy and vision for the future, as well as our long track-record of organic and acquisition-driven growth,” Marc Cohen, president and CEO, Hub International, says in a statement. “Altas’ long-term approach and deep expertise make them a welcome partner as we enthusiastically embark upon the significant opportunities ahead.”

“Hub has distinguished itself as the premier mid-market insurance brokerage through its unique regional structure and long, consistent track record of success,” Scott Werry, managing partner, Atlas, says in a statement. “Consistent with our investment philosophy, we look forward to working with the Hub management team and H&F as we support the numerous growth opportunities ahead of the company.”

The transaction is subject to regulatory approval and is expected to close before the end of 2018.

Hub International is the parent company of Woodbridge, Ont.-based managing general agency Hub Financial Inc.