Corebridge & Equitable in $22B All-Stock Merger

Merger Announcement Summary

Corebridge Financial and Equitable Holdings have announced a definitive agreement for an all-stock merger valued at approximately $22 billion. This transaction will create a premier financial services firm serving over 12 million customers with $1.5 trillion in assets under management and administration.

Deal Overview

The combined entity anticipates generating over $4 billion in cash and achieving more than $500 million in run-rate expense synergies by the end of 2028. Post-merger, Corebridge shareholders will own approximately 51% of the company, with Equitable shareholders holding the remaining 49%. The deal is expected to be immediately accretive to earnings per share.

Market and Leadership Impact

The new company will operate under the Equitable brand and trade on the New York Stock Exchange with the ticker EQH. The leadership team will include Marc Costantini as President and Chief Executive Officer and Mark Pearson as Executive Chair of the board.

Outlook

The merger is expected to close by year-end 2026, subject to customary regulatory and shareholder approvals. The combined company targets an adjusted return on equity exceeding 15% by the end of 2027, solidifying its market leadership.

FAQ

Q: What is the value of the Corebridge and Equitable merger?
A: The all-stock transaction is valued at approximately $22 billion.

Q: Who will lead the newly formed company?
A: Marc Costantini will serve as President and CEO, with Mark Pearson as Executive Chair.

Source: Investing.com