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KKR-backed consortium to buy Steadfast Group for A$5.5 billion
The deal values Steadfast at A$6 per share cash, a 51.9% premium to its A$3.95 closing price on June 9.
Steadfast Group has agreed to a A$5.5 billion buyout led by a consortium backed by KKR, covering both underwriting and broking operations, according to Coverager. Under the transaction, specialty insurance distributor Amwins Group will acquire Steadfast’s underwriting agency business, while Dragoneer Investment Group will take control of its broking operations.
Steadfast’s Networks brokers and agencies place around $25 billion in gross written premium annually. Coverager also reports that Steadfast shareholders will receive A$6 per share in cash, less any permitted dividends or distributions paid before implementation.
The A$6 offer represents a 51.9% premium to Steadfast’s A$3.95 closing share price on June 9, the final trading day before the company disclosed the consortium’s initial non-binding proposal. Coverager adds that the company expects the transaction to support investments in technology and services and to strengthen specialty capabilities, including community solar and BESS, with Jackson-Lloyd cited for occupational accident programs in Texas and Kansas.