Business
Trustmark Announces Agreement to Sell Fisher Brown Bottrell Insurance, Inc. to Marsh & McLennan Agency LLC
JACKSON, Miss.--(BUSINESS WIRE)-- Trustmark National Bank today announced that it has entered into a definitive agreement to sell its wholly owned
About this update from Trustmark Corporation
[{"type":"text","content":" JACKSON, Miss.--(BUSINESS WIRE)--\nTrustmark National Bank today announced that it has entered into a definitive agreement to sell its wholly owned subsidiary, Fisher Brown Bottrell Insurance, Inc., (“FBBINSURANCE”) to Marsh & McLennan Agency LLC for $345 million in cash. Trustmark National Bank is a wholly owned subsidiary of Trustmark Corporation (NASDAQGS: TRMK).\n\n\nTransaction Highlights\n\n\n\nThe sale of FBBINSURANCE, among the five largest bank-affiliated insurance brokerages in the nation and one of the largest agencies in the Southeast, is expected to allow Trustmark to capitalize on the strong valuation premiums in the insurance brokerage sector. The $345 million transaction value represents approximately 5.9 times FBBINSURANCE’s 2023 revenue and 28.0 times net income.\n\n\n\nEstimated after-tax proceeds of $228 million are expected to be used to reposition Trustmark’s balance sheet to increase earnings, elevate profitability, and enhance capital.\n\n\n\nDuane A. Dewey, President and CEO of Trustmark, stated, “Trustmark entered the insurance brokerage business 25 years ago. Since then, the agency has grown from a single office in Jackson to ten offices across Mississippi, Alabama, and Florida to become one of the largest bank-affiliated insurance brokerages in the country, and one of the largest in the Southeast. The FBBINSURANCE team has done a tremendous job of building a premier agency through their dedication to providing risk management solutions and unparalleled service to their clients. With the quality of our team and the strength Marsh McLennan Agency brings to bear, we look forward to working with them in a new capacity.”\n\n\nScott Woods, President of FBBINSURANCE, commented, “Trustmark has been an outstanding partner, supporting our growth and development. This next chapter in the life of the agency will serve as a catalyst for greater benefits for our clients and new opportunities for our associates as we gain enhanced access to MMA’s global resources. They are a world-class agency that is committed to their culture, customers, communities, and associates, and we look forward to joining their team.”\n\n\nPeter Krause, President and CEO of Marsh McLennan Agency’s Southeast region, commented, “FBBINSURANCE’s strong regional presence, client-focused approach, and terrific leadership were very attractive as...