Sedgwick agrees on USD1.1bn private equity buyout

US Sedgwick Claims Management Services, a specialist in insurance claims administration services, said Tuesday it has sealed an agreement to be acquired by private equity firms Stone Point Capital and Hellman & Friedman for USD1.1bn (EUR816m).

Sedgwick is currently controlled by US title insurer Fidelity National Financial (NYSE:FNF), leveraged buyout (LBO) specialist Thomas H. Lee Partners, Evercore Capital Partners and other shareholders.

In a separate statement, Fidelity National said it anticipates to book net proceeds of USD220m from the sale of its 32% stake in Sedgwick.

Bank of AmericaMerrill Lynch and Barclays Capital have committed to provide financing for the deal, Sedgwick said in a statement.

The transaction is scheduled to be completed in the second quarter of 2010.

Country: USA;

Sector: Insurance

Target: Sedgwick Claims Management Services Inc

Buyer: Stone Point Capital LLC; Hellman & Friedman LLC

Vendor: Thomas H. Lee Partners; Fidelity National Financial Inc; Thomas H. Lee Partners LP

Deal size in USD: 1.1bn

Type: LBO

Financing: Cash & Debt

Status: Agreed

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