StockNews.AI
ALL
StockNews.AI
201 days

Nationwide to Acquire Allstate Employer Stop Loss Business for $1.25 billion

1. Nationwide acquires Allstate's employer stop loss segment for $1.25 billion. 2. Transaction aims to diversify Nationwide's offerings and serve small businesses better. 3. Acquisition expected to close in the second half of 2025, pending conditions. 4. Nationwide to enhance capabilities in stop loss insurance and employer benefits. 5. Citi and J.P. Morgan act as financial advisors for the deal.

M&A
-0.77%Current Return
VS
-0.53%S&P 500
$193.8301/30 05:17 PM EDTEvent Start
$192.3301/31 11:37 PM EDTLatest Updated
6m saved
Insight
Article

FAQ

Why Bullish?

This acquisition strengthens Nationwide's market position, resembling previous successful acquisitions in insurance.

How important is it?

The acquisition signifies growth potential for Nationwide, impacting overall market sentiment positively.

Why Long Term?

The full benefits of this strategic acquisition may be realized over years, enhancing market share.

Related Companies

ALLN
The acquisition will strengthen and diversify Nationwide's portfolio, meeting more of the financial services needs of small businesses , /PRNewswire/ -- Nationwide, one of the largest providers of insurance and financial services products in the U.S., announced today that it has entered into a definitive agreement to purchase The Allstate Corporation's (NYSE: ALL) employer stop loss segment for $1.25 billion. The transaction is expected to close in the second half of 2025, subject to customary closing conditions. "As Nationwide continues to focus on our mission to protect people, businesses and futures with extraordinary care, this acquisition is a strong fit," said Nationwide CEO Kirt Walker. "We are extending our protection solutions to meet the needs of business owners today and into the future."  This acquisition will further strengthen and diversify Nationwide Financial's portfolio, expanding the company's ability to sell stop loss insurance to small businesses. Stop loss insurance protects employers who self-fund their health insurance plans from excess losses. "Acquiring Allstate's employer stop loss segment will broaden Nationwide Financial's portfolio, meeting the needs of small businesses, allowing us to serve more customers and positioning us as a leading provider in the stop loss industry," said John Carter, president and chief operating officer of Nationwide Financial. "This represents a significant investment in the stop loss market, adding experienced talent with proven business results, protecting over 13,000 small businesses and complementing our existing offerings in the market while accelerating our opportunity for growth." This new business will lay the foundation for Nationwide to continue to add capabilities for significant growth in employer benefits. Citi is acting as exclusive financial advisor and Squire Patton Boggs LLP is acting as legal advisor to Nationwide. J.P. Morgan and Ardea Partners are acting as financial advisors and Willkie Farr & Gallagher LLP is acting as legal advisor to Allstate. About NationwideNationwide, a Fortune 100 company based in Columbus, Ohio, is one of the largest and strongest diversified insurance and financial services organizations in the United States. Nationwide is rated A+ by Standard & Poor's. An industry leader in driving customer-focused innovation, Nationwide provides a full range of insurance and financial services products including auto, business, homeowners, farm and life insurance; public and private sector retirement plans, annuities and mutual funds; excess & surplus, specialty and surety; and pet, motorcycle and boat insurance. About AllstateThe Allstate Corporation (NYSE: ALL) protects people from life's uncertainties with a wide array of protection for autos, homes, electronic devices, and identity theft. Products are available through a broad distribution network including Allstate agents, independent agents, major retailers, online, and at the workplace. Allstate is widely known for the slogan "You're in Good Hands with Allstate" For more information, visit www.allstate.com. For more information, visit www.nationwide.com. Subscribe today to receive the latest news from Nationwide and follow Nationwide PR on X. Nationwide, Nationwide is on your side and the Nationwide N and Eagle are service marks of Nationwide Mutual Insurance Company. © 2025 NSM-0494AO01/2025 Contact:Emily Buzzard(614) 249-6349[email protected]Subscribe to Nationwide News SOURCE Nationwide WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM? 440k+ Newsrooms & Influencers 9k+ Digital Media Outlets 270k+ Journalists Opted In

Related News