Stone Point Capital to take minority stake in Truist Insurance Holdings for $1.95bn

Mubadala Investment Company and other co-investors are participating in the investment with Stone Point.

  • The deal is expected to close in the second quarter of this year
  • Upon completion of the transaction, Truist will own 80 percent of Truist Insurance Holdings
  • Stone Point targets investments in companies in the global financial services industry and related sectors

Truist has agreed to sell a 20 percent stake in Truist Insurance Holdings, an insurance broker, to Stone Point Capital for $1.95 billion.

Mubadala Investment Company and other co-investors are participating in the investment with Stone Point.

The deal is expected to close in the second quarter of this year.

Upon completion of the transaction, Truist will own 80 percent of Truist Insurance Holdings.

“Truist Insurance Holdings is a scaled, diversified U.S. retail and wholesale insurance distribution platform that has experienced strong growth both organically and through a disciplined acquisition strategy,” said Chuck Davis, CEO of Stone Point, in a statement. “We have had a longstanding and mutually beneficial relationship with Truist for many years and we and our co-investors could not be more excited to partner with them, John, and the entire Truist Insurance Holdings team in its next phase of profitable growth.”

Morgan Stanley & Co. LLC and Truist Securities are serving as financial advisors and Davis Polk & Wardwell LLP is serving as legal counsel to Truist and Truist Insurance Holdings. Simpson Thacher & Bartlett LLP is serving as legal counsel to Stone Point.

Based in Charlotte, North Carolina, Truist Financial Corporation is a financial services company.

Based in Greenwich, Connecticut, Stone Point has over $45 billion of assets under management. Stone Point targets investments in companies in the global financial services industry and related sectors.

Correction: An earlier version of this news report misspelled Truist in the initial sentence. It has since been corrected.