Alliant Insurance plans $670 million bonds for buyout by Stone Point

By Paul A. Harris

Portland, Ore., July 1 – Alliant Insurance Services Inc. is expected to bring $670 million of bonds to help fund the purchase of a significant equity interest in the company by Stone Point Capital LLC, according to a market source.

UBS AG will be the left lead.

The bonds are backed by a $495 million operating company bridge loan and a $175 million holding company bridge loan.

The bridge loans are being syndicated, the source added.

In addition to the bonds there will be $1.54 billion of bank loans expected to launch at a bank meeting in July.

Morgan Stanley Senior Funding Inc. is leading the bank debt.

In addition to Morgan Stanley and UBS, banks leading the debt include Jefferies Finance LLC, Macquarie Capital (USA) Inc., Nomura and KKR Capital Markets.

Under the transaction, funds managed by Stone Point will become Alliant Insurance’s largest institutional shareholders, and the company’s existing shareholders, which include management and producers as well as funds affiliated with KKR, will remain significant shareholders in the business.

Alliant Insurance is a Newport Beach, Calif.-based specialty insurance brokerage firm.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.