Feb 20 (Reuters) - Truist Financial Corp said on Tuesday it has reached an agreement to sell its insurance brokerage business to an investor group led by private equity firms Stone Point and CD&R in a deal valued at $15.5 billion.

The commercial and investment bank's profit had fallen in 2023 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.

The sale is expected to be increase Truist's CET1 capital ratio by 230 basis points and raise its tangible book value per share by $7.12, or 33%.

The deal, which includes debt, is expected to close during the second quarter of 2024.

(Reporting by Manya Saini in Bengaluru; Editing by Krishna Chandra Eluri)