Buffalo-based Liazon Corp. has been acquired by Towers Watson in a $215 million deal.
Towers Watson (NYSE, NASDAQ: TW), a global professional benefit services company, announced the deal Friday, with more detail to be provided Monday during a conference call with investors. Liazon, founded in 2007, provides private benefit exchange development and services for clients around the country. The company has 120 employees, with about 65 working from offices in downtown Buffalo and the remainder in New York.
Towers Watson said it will continue to grow Liazon’s private exchange solution while working with its broker, consultant and insurance carrier partners. Those include more than 400 insurance brokers, distributing the product under the Bright Choices brand or as a third-party proprietary exchange.
In a media release, Towers Watson said it will also continue to offer its OneExchange solution, which primarily serves larger employers.
“Liazon has built a growing business by offering customized private exchange approaches through an extensive network of partners. We are delighted to team with them and serve a part of the market that Towers Watson had not previously reached,” said John Haley, CEO of Towers Watson. “As more employers evaluate private exchanges, bringing Liazon into the Towers Watson family will help us — and Liazon’s distribution partners — offer employers scalable, cost-effective and high-performing benefit plans to their employees.”
Ashok Subramanian, Liazon co-founder and CEO, will join the leadership team of Towers Watson’s Exchange Solutions segment. He said the deal will allow the companies to create a pre-eminent private benefit exchange solution for employers of all sizes.
“By joining Towers Watson, we’ll be better positioned to achieve our top priority — to provide our clients and partners with an even greater array of best-in-class tools, resources and service across all market segments,” he said.