Allstate confirms acquisition of SquareTrade for approximately $1.4B
The Allstate Corporation has agreed to acquire SquareTrade, a rapidly growing consumer protection plan provider that distributes through many of America's major retailers. The privately held company will be purchased for approximately $1.4B from a group of shareholders, including Bain Capital Private Equity and Bain Capital Ventures, in a transaction expected to close in January 2017. Allstate will acquire SquareTrade utilizing corporate cash and debt issuance, subject to market conditions, with no impact on Allstate's existing share repurchase program. The transaction is expected to be dilutive to Allstate's earnings per share for three years, including the amortization of intangible assets, and is subject to regulatory approvals and customary closing conditions.