Truist Financial reportedly in discussions to sell insurance business to private equity firm
Truist Financial Corp. (NYSE:TFC) is in discussions to sell its insurance brokerage to private equity firm Stone Point for around $10 billion, according to a report from Semafor on Tuesday.
The publication said sources familiar with the matter told them Stone Point bought 20% of the business earlier this year and is now in talks to acquire the rest.
In February, Stone Group is said to have taken a 20% stake in the business, with the deal including money from Emirati sovereign fund Mubadala. The deal valued Truist's insurance business at $14.5 billion. However, it is not clear whether the deal for the rest of the business would include other investors.
The move to sell is part of the early consequence of new, tighter regulations.
The talks are reportedly ongoing, with a deal potentially hinging on Stone Point’s capacity to «scrounge up enough debt in a market that’s been skittish on buyout loans,» Semafor said.
Read more on investing.com
