Michael Dell Family Office, Sequence to Take Baldwin Private for $7.7B
The Baldwin Group has agreed to be taken private by Sequence Holdings and Michael Dell’s family investment office in an all-cash transaction carrying an enterprise value of approximately $7.7 billion.
Baldwin shareholders will receive $32.50 per share, an 88% premium to the company’s unaffected closing price on June 17, the day before reports emerged that the insurance distributor was exploring a potential sale. The transaction consists of an equity purchase price of about $4.6 billion and approximately $3.1 billion of net debt that will be assumed or refinanced.
The valuation represents roughly 20 times Baldwin’s trailing 12-month adjusted earnings before interest, taxes, depreciation and amortization of approximately $396 million.
Following the deal’s completion, Baldwin will operate as a privately held subsidiary of a newly formed entity backed by Sequence and DFO Management, the family office of Dell Technologies founder, Chairman and CEO Michael Dell. Eligible Baldwin employees who currently own equity may roll over part of their holdings, leaving colleagues with a significant minority stake in the private company.
CEO Trevor Baldwin said the partnership will give the insurance company long-duration capital to accelerate investments in technology, artificial intelligence and talent.
“Our vision and strategy are not changing,” Baldwin said. “What changes is the pace of our investments in talent and technology.”
Dell said Baldwin has developed a “genuine data and platform advantage” during the past 15 years. He added that DFO’s permanent-capital structure allows it to support management without operating against a fixed fund-exit timetable.
The board unanimously approved the transaction following a recommendation from a special committee of independent directors. The acquisition is not subject to a financing condition.
The deal is expected to close in the first quarter of 2027, subject to shareholder and regulatory approvals and other customary conditions. Baldwin’s shares will cease trading on Nasdaq after closing.
Ardea Partners and MarshBerry are serving as financial advisors to Baldwin, while Davis Polk & Wardwell acts as legal counsel. Perella Weinberg Partners advised the Special Committee. Piper Sandler, Morgan Stanley, Barclays, and Wells Fargo advised Sequence and DFO, with Latham & Watkins and Sullivan & Cromwell serving as legal counsel.
Pictured: Trevor Baldwin, Chief Executive Officer, The Baldwin Group.