Truist Completes Sale of Truist Insurance Holdings

Truist Financial Corporation has successfully concluded the sale of its remaining stake in Truist Insurance Holdings (TIH), the fifth-largest insurance brokerage in the United States, to an investor consortium led by private equity firms Stone Point Capital, Clayton, Dubilier & Rice, Mubadala Investment Company, and other co-investors.

"We are pleased to have completed the sale of TIH, and we look forward to maintaining a strong partnership with TIH into the future," said Truist Chairman and CEO Officer Bill Rogers. "The sale of TIH significantly enhances Truist's financial profile and positions Truist to invest in and grow its core banking businesses."

This move marks a strategic shift aimed at enhancing Truist's financial standing and focusing on its core banking operations. The sale of TIH has generated after-tax cash proceeds of approximately $10.1 billion for Truist, resulting in an estimated after-tax gain of $4.7 billion and boosting its CET1 capital by $9.4 billion.

These changes are expected to increase Truist's income from interest, adding about $160 million in the second quarter of 2024 and around $710 million for the year. With these adjustments, Truist now predicts a slight increase in revenue for the second quarter and a smaller decrease for the full year compared to earlier estimates.