KKR To Acquire Majority Ownership Of Sedgwick For About $2.4 Bln - Quick Facts

(RTTNews) - Insurance claims services provider Sedgwick Claims Management Services Inc announced Monday that Private equity giant Kohlberg Kravis Roberts & Co. L.P. (KKR), together with management, have signed an agreement to acquire majority ownership of Sedgwick for about $2.4 billion from its current group of investors, which includes Hellman & Friedman LLC and Stone Point Capital LLC.

Sedgwick said that on an annual basis, it handles more than 2.1 million claims and has fiduciary responsibility for claim payments totaling more than $11 billion.

The transaction is expected to close during the first quarter of 2014, subject to customary conditions and regulatory approvals.

In 2010, buyout firms Stone Point Capital LLC and Hellman & Friedman LLC acquired Sedgwick from Fidelity National Financial Inc. (FNF) as well as private equity firms Thomas Lee Partners L.P. and Evercore Capital Partners for about $1.1 billion. Prior to that, the business was owned by insurance brokerage and risk-management company Marsh & McLennan Companies Inc. (MMC).