BI’s Article search uses Boolean search capabilities. If you are not familiar with these principles, here are some quick tips.

To search specifically for more than one word, put the search term in quotation marks. For example, “workers compensation”. This will limit your search to that combination of words.

To search for a combination of terms, use quotations and the & symbol. For example, “hurricane” & “loss”.

Login Register Subscribe

Truist to sell 20% stake in $14.75B insurance brokerage unit to Stone Point


(Reuters) - Truist Financial Corp. is selling a minority stake in its insurance brokerage unit to private equity firm Stone Point Capital LLC in a deal that values the unit at $14.75 billion, it said on Thursday.

The move follows a year in which the commercial and investment bank's profit dropped as it set aside a bigger share for rainy-day funds to deal with the chances of its borrowers falling behind on loan payments due to rising inflation and borrowing costs.

Investment firms like Stone Point have offered some respite in an environment which remains tough for dealmaking as companies backpedal on deals and prioritize cost cuts.

Stone Point along with Abu Dhabi's Mubadala Investment Co. and other co-investors will pay $1.95 billion for a 20% stake in the unit, Truist Financial said.

Last year, Stone Point also took fitness company Tivity Health private in a $2 billion deal.

Truist Financial said it expects to close the deal in the second quarter of this year, after which it will retain an 80% stake in the unit.

The unit, called Truist Insurance Holdings Inc., offers both retail and wholesale insurance.

Net income at the segment fell nearly 5% to $121 million in the fourth quarter, Truist Financial reported last month.