Principal® to Acquire Employee Benefits Company Beam Benefits

About this update from Principal Financial Group Inc

DES MOINES, Iowa, July 07, 2026--(BUSINESS WIRE)--Principal Financial Group® (Nasdaq: PFG) announced today an agreement to acquire Beam Benefits, an employee benefits company serving over 25,000 small businesses. "Beam Benefits' focus on serving the small business market aligns directly with our commitment to helping small and midsized businesses (SMBs) protect their businesses and their employees," said Amy Friedrich, president of Benefits and Protection at Principal. "This acquisition strengthens our momentum and delivery of above-market growth in that segment." Principal currently serves 180,000 employers providing comprehensive retirement, benefits, and business owner solutions.1 Beam offers dental, vision, and ancillary benefits supported by a cloud-native technology stack with AI at its core. The business has scaled rapidly in the small business segment, generating approximately $175 million in premiums in 2025. "Beam Benefits is purpose-built to transform the employee benefits experience by combining intuitive, cloud-native technology with an unwavering focus on expanding access to vital employee benefits for small business employers, employees, and their families. Joining forces with Principal is the natural next step in our journey," said Tolithia Kornweibel, CEO of Beam Benefits. "Beam has built a meaningful customer base that generates strong premium volume," said Friedrich. "Its digital-first model brings scalable capabilities that can complement our platform, support continued growth, and enhance the customer experience. Beam's talent and deep expertise in the small business marketplace will be additive to our SMB strategy." The acquisition is expected to close in the latter half of 2026, subject to the completion of customary closing conditions and regulatory approvals. Capital deployment and earnings per share growth targets remain unchanged for 2026. Principal expects this acquisition to accelerate premium and fee growth for Specialty Benefits to at or above the high-end of the 5 – 9% medium-term target range in 2027. Perella Weinberg Partners served as financial advisor to Principal, with Skadden, Arps, Slate, Meagher & Flom LLP acting as legal counsel. Ardea Partners LP served as financial advisor to Beam Benefits, with Wilson Sonsini Goodrich & Rosati, P.C. acting as legal counsel. About Principal Financial Group® Principal Fina...

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