Funds managed by Stone Point Capital LLC along with Mubadala Investment Company PJSC and other co-investors agreed to acquire a 20% stake in Truist Insurance Holdings, Inc. from Truist Financial Corporation (NYSE:TFC) for $1.95 billion on February 15, 2023. The transaction represents an aggregate value of $14.75 billion for Truist Insurance Holdings. Upon closing of the deal, Truist Financial Corporation will own 80% of Truist Insurance Holdings, which will continue to be an important contributor for Truist and its shareholders. The transaction excludes Truist Insurance Holdings' premium finance business. In 2022, TIH reported a total revenues of $3.089 billion, EBITDA of $860 million and Net Income of $538 million. In connection with the transaction, John M. Howard will continue as Chief Executive Officer of TIH, reporting to Truist Chief Executive Officer, William H. Rogers, Jr. A five-person Board will be formed to oversee Truist Insurance Holdings, comprising four members appointed by Truist and one member appointed by Stone Point. Truist Financial Corporation board has approved the deal. The transaction is subject to customary closing conditions and regulatory approvals. Truist also expects the transaction to be 6% accretive to tangible book value per share and to be approximately neutral to net income available to common shareholders and earnings per share, with the potential for enhanced growth as the generated capital is deployed over time.

Grant Gregory, John Esposito, Graham Nix, Brandon Winikates and Robyn Maslynsky of Morgan Stanley & Co. LLC and Truist Securities are serving as financial advisors and Kevin A. Brown, William A. Curran, James A. Florack, Adam Kaminsky, Darren Mahone, Evan Rosen, H. Oliver Smith and Margaret E. Tahyar of Davis Polk & Wardwell LLP serving as legal counsels to Truist and Truist Insurance Holdings. Elizabeth Cooper, Mark Viera, Adam Shapiro, Benjamin Rippeon, William Smolinski, David Rubinsky, Jamin Koslowe, Spencer Sloan, Lori Lesser, Catherine Burns, Toby Chun, Steve DeLott and Dennis Loiacono of Simpson Thacher & Bartlett LLP are serving as legal counsels to Stone Point. Cleary Gottlieb Steen & Hamilton LLP acted as legal advisor to Mubadala.

Funds managed by Stone Point Capital LLC along with Mubadala Investment Company PJSC and other co-investors completed the acquisition of a 20% stake in Truist Insurance Holdings, Inc. from Truist Financial Corporation (NYSE:TFC) on April 3, 2023.