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Abu Dhabi sovereign wealth fund Mubadala Investment Company and private equity firm Stone Point Capital are acquiring a stake in a US-based insurance broker for nearly $2 billion.
Mubadala announced on Tuesday that it has signed an agreement with Stone Point Capital to purchase a 20% stake for $1.95 billion in Truist Insurance Holdings, a subsidiary of American bank holding company Truist Financial Corporation.
The transaction, which also includes other co-investors, represents an aggregate value of $14.75 billion for the broker. It is expected to close in the second quarter of the year.
The North Carolina-based insurance broker, considered to be the sixth largest in the US, operates more than 240 offices through its subsidiaries.
Upon closing of the deal, Truist will own 80% of Truist Insurance Holdings.
Mubadala currently boasts of a portfolio of $284 billion that spans six continents, with interests in various sectors and asset classes.
(Reporting by Cleofe Maceda; editing by Mily Chakrabarty)
