Sedgwick, a global provider of claims management and technology-enabled business solutions, announced a strategic investment from Altas Partners, a North American private equity firm. Existing investors, including Carlyle and Stone Point Capital LLC, will continue their investments in Sedgwick, with Carlyle maintaining its control position.
The transaction values Sedgwick at approximately $13.2 billion, up from $6.7 billion when Carlyle first invested in 2018. Altas has committed to invest $1 billion in equity as part of the deal.
“This new partnership with Altas and our current stakeholders brings together a strategic vision that builds our global footprint,” said Mike Arbour, CEO of Sedgwick. “Altas has a history of actively supporting companies in its portfolio.”
Will McMullan, Partner at Carlyle, stated: "We are incredibly proud of the growth Sedgwick has achieved under our ownership."
Paul Emery, Partner at Altas, commented: “Sedgwick is an exceptional company led by a terrific team that we have coveted for many years.”
Jim Carey, Co-CEO of Stone Point added: “We have known the Sedgwick leadership team for many years and are thrilled to continue the partnership.”
In 2023 alone, Sedgwick handled over eight million claims and managed claim payments totaling more than $33 billion. The company will remain independent with a focus on claims handling excellence.
Morgan Stanley & Co. LLC and BofA Securities served as financial advisors to Sedgwick. J.P. Morgan Securities LLC and Barclays advised Altas.
The transaction is expected to close in the fourth quarter of 2024.
About Sedgwick
Sedgwick provides claims management and other business solutions globally through over 33,000 colleagues across 80 countries.
About Altas Partners
Altas Partners focuses on acquiring significant interests in high-quality businesses with growth potential.
About Carlyle
Carlyle is a global investment firm managing $435 billion in assets as of June 30, 2024.
About Stone Point Capital
Stone Point targets investments in financial services sectors with over $50 billion in assets under management.