Baldwin Group To Acquire Hippo's Homebuilder Insurance Network, Expanding Westwood's Reach

(RTTNews) - The Baldwin Group (BWIN) announced that its subsidiary, Westwood Insurance Agency LLC, has agreed to acquire all equity interests in Hippo Holdings Inc.'s homebuilder distribution network.

This strategic acquisition, referred to by the Baldwin Group as a "Partnership," is expected to close around July 1, 2025, and will position Westwood as the top insurance agency serving the U.S. homebuilding sector. The acquired network generated approximately $29.2 million in revenue over the past 12 months and is projected to deliver $7 million in adjusted EBITDA in the year following the deal. The Partnership is expected to be neutral to Net Leverage and accretive to Baldwin's 2026 adjusted Diluted EPS.

In a separate deal, Baldwin's MGA, Millennial Specialty Insurance (MSI), entered into a Program Administrator Agreement and Claims Administration Agreement with a Hippo affiliate to launch a new homebuilder program, enhancing capacity for Westwood's builder clients. Hippo and its affiliate, Spinnaker Insurance Company, will also provide capacity and reinsurance for existing and future MSI programs.

Jim Roche of Baldwin stated that the acquisition gives Westwood embedded insurance solutions with 20 of the top 25 U.S. homebuilders, expanding product offerings in a tough market. CEO Trevor Baldwin emphasized the importance of the partnership in driving innovation and client support, while Hippo CEO Rick McCathron highlighted the deal as a way to strengthen Hippo's core risk capabilities and extend support for Baldwin's MGA programs.

Thursday, BWIN closed at $39.37, down 0.58%, and remained unchanged in after-hours trading on the NasdaqGS.