Rising star Connor Kuratek, Marsh & McLennan Companies
It’s been a banner year for Marsh & McLennan Companies’ (MMC) Connor Kuratek, in which he traveled from one side of the world to the other to help with governance issues. Kuratek only joined the firm in 2016 but was handed key roles on two of the most important issues facing MMC: the successful resolution of a governance inquiry by the Australian Royal Commission, and the $6.5 billion acquisition of the UK’s Jardine Lloyd Thompson (JLT), MMC’s largest ever M&A deal.
Highlighting his rise to recognition, Kuratek came to the company as chief counsel for securities and finance and assistant corporate secretary, and now serves as chair of MMC’s disclosure committee, secretary to the audit committee and member of the management ESG committee. In June 2018 he was sent to Australia to help Mercer, one of MMC’s four operating companies, respond to allegations that Mercer put its own interests ahead of those of its customers, allegations that had prompted an investigation by the Royal Commission.
Kuratek’s mission was to assist on governance issues related to the functioning of the independent board managing the Mercer Superannuation Trust, which was providing services to the customers at issue. In doing so, he was able to draw on his experience as secretary to the audit committee and expertise on conflicts of interests and best practices in US governance. ‘We needed someone with the emotional intelligence and personality to support colleagues who were under pressure and strain,’ says Tiffany Wooley, assistant corporate secretary at MMC.
Kuratek spent weeks looking at governance processes, helping prepare and review documents and implementing best practices. For example, MMC noted that there were directors on different boards with overlapping conflicts. Although this was allowed under the rules it was not best practice and Kuratek worked with the local team to simplify these structures and create guidelines for subsidiary governance. He also helped the company respond to three witness statements from the commission, which decided not to call Mercer to testify and closed the investigation.
‘We believe Mercer’s prompt and thorough... response demonstrated its commitment to integrity and good governance. Connor’s brilliance, impeccable judgment and good cheer were central to this success,’ the company says.
Just weeks after he returned from Australia, MMC and JLT launched ‘an insane 11-day sprint to reach a definitive [M&A] agreement.’ Kuratek was part of a four-person in-house legal team on the transaction, and he worked on the deal’s ‘novel’ financing involving a forward exchange hedge that would disappear at no cost to MMC if the deal failed.
The financing plan was reviewed by the board, its finance committee and audit committee. The deal was signed on September 18 and a target set to close by spring 2019, which would require securing regulatory approvals in the US, Europe, Colombia, Russia, Singapore, South Africa and other jurisdictions.
The legal team prepared a quick sale of the JLT aviation business in case it raised antitrust issues. ‘With MMC’s chief M&A counsel on extended medical leave, Connor spent 10 days in a windowless London conference room to help reach an agreement to sell JLT’s aerospace business,’ MMC states. Kuratek made sure good governance was observed, such as appointing an independent trustee to monitor the divested business for potential conflicts of interest while it was up for sale.
‘We took subsidiary governance seriously, contacting directors on vacation to walk through material and answer questions when the acquiring entity was changed at the last minute,’ Wooley says. Ultimately, the MMC-JLT deal closed – exactly on schedule – on April 1.
Kevin White (right), senior vice president of MacKenzie Partners, presents the award for rising star to Connor Kuratek, chief corporate counsel and assistant secretary at Marsh & McLennan Companies
