Truist Insurance Holdings Inc., one of America’s largest brokerages and part of Truist Financial Corp., announced that it has agreed to acquire national premium finance company BankDirect Capital Finance from Texas Capital Bancshares.
BankDirect will now become a division of Truist’s premium finance operation, known as AfCo Credit Corp, the company said in a press release.
The acquisition will add more than $3 billion in loans to Truist Insurance Holdings’ premium finance business and expand its life insurance business. Terms of the agreement were not disclosed in the announcement, but the transaction is expected to close in the fourth quarter of this year, Truist officials said.
BankDirect was founded in 2005 and has grown through four acquisitions over the past 17 years. The company said it has a portfolio of property and casualty and life insurance products across the country. With 122 employees, BankDirect operates out of five offices in the United States, but is headquartered in Lake Forest, Illinois.
Texas Capital Bancshares, a bank holding company, is based in Dallas. Truist is headquartered in Charlotte, North Carolina.
RBC Capital Markets and Truist Securities acted as financial advisors to the transaction, and Willkie Farr & Gallagher acted as legal advisor to Truist. Morgan Stanley and Texas Capital Securities served as financial advisors, and Cravath, Swaine & Moore served as legal advisors to Texas Capital Bancshares.
Topics
Mergers and Acquisitions
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