Sentry Insurance is acquiring The General for approximately $1.7 billion, marking a significant milestone in its history as the largest acquisition it has undertaken in 120 years.
Transaction Details
Sentry will pay $1.1 billion in cash for The General and assume liabilities and required capital, raising the total transaction value to $1.7 billion.
Historical Context
American Family Insurance acquired The General in 2012 for $239 million when it purchased PGC Holdings Corp. and its subsidiaries.
Company Profiles
Sentry, based in Stevens Point, Wisconsin, is known for business insurance and also operates a nonstandard auto insurer under its Dairyland brand.
Integration Plans
Post-acquisition, both brands will function independently during the integration, with employees from The General expected to join Sentry’s workforce by January 1.
Comments from Leadership
American Family Insurance's CEO expressed confidence in Sentry's capabilities, stating that the acquisition will continue to serve customers well and ease the transition for employees.
Regulatory Approvals
The transaction is anticipated to close by the end of the year, pending regulatory approvals.
