Positions Truist Insurance Holdings for continued growth in rapidly evolving insurance brokerage market
Mubadala Investment Company (“Mubadala”), the Abu Dhabi based investment company, announced that it has partnered with primary investors and leading private equity firms, Stone Point Capital and Clayton, Dubilier & Ross (“CD&R”), alongside other co-investors, to purchase from Truist Financial Corporation (NYSE: TFC) its remaining stake in Truist Insurance Holdings (“TIH”), a subsidiary of Truist.
Based in Charlotte, North Carolina, Truist Insurance Holdings is the fifth largest insurance broker in the United States and operates more than 200 offices through its portfolio of wholesale, retail, and insurance services businesses. This investment follows Mubadala’s purchase in 2023 alongside Stone Point Capital and other co-investors of a 20% stake in TIH for $1.95 billion.
The all-cash transaction values TIH at an implied enterprise value of $15.5 billion. The parties expect to complete the transaction during the second quarter of 2024, subject to certain regulatory reviews and approvals and the satisfaction of other customary closing conditions. Truist’s Board of Directors has unanimously approved the agreement.
“We are tremendously excited to have the opportunity to make an additional investment in Truist Insurance Holdings. It is a fantastic business led by a top management team, and together with our partners at Stone Point Capital and CD&R we are looking forward to further enabling its growth,” said Luca Molinari, Head of Asia and Financial Services at Mubadala.
