Private equity firm, KKR agrees to acquire a majority stake in Sedgwick Claims Management for $2.4 billion from existing investors Hellman & Friedman and Stone Point Capital.
Sedgwick, which is a leading provider of technology-enabled claims and productivity management solutions, handles more than 2.1 million claims annually and has a fiduciary responsibility for claim payments totalling $11 billion.
Commenting on the deal David North, president and CEO of Sedgwick says: “We couldn’t ask for a better partner in the next stage of Sedgwick’s evolution. KKR has an exceptional record of investing in financial services companies and will be a valuable strategic resource for our organization. We share a commitment to continued innovation in the claims and productivity management industry. My colleagues and I look forward to collaborating with KKR as we develop solutions for the changing needs of our clients.”
“This is a critical time for employers as they adjust to an evolving health care delivery model, the shifting demographics of the workforce and a multitude of additional challenges,” says Tagar Olson, member of KKR and head of its financial services investment practice. “Sedgwick has an exceptional management team, a strong track record of innovation and the technology-driven solutions to address these challenges. We believe our partnership will enable them to maintain and enhance their leadership position in the industry.”
Sedgwick Claims Management, KKR, M&A