11:27 AM EDT, 05/07/2024 (MT Newswires) -- Truist Financial ( TFC ) said Tuesday it completed the sale of its Truist Insurance Holdings unit to an investor group led by private equity firms Stone Point Capital, Clayton, Dubilier & Rice and Mubadala Investment, among others.

At the closing, Truist said it received $10.1 billion in after-tax cash cash proceeds, resulting in a $4.7 billion after-tax gain and boosting its common equity tier 1 capital by $9.4 billion.

Following the sale, Truist said it repositioned its balance sheet by selling $27.7 billion of lower-yielding securities, incurring a $5.1 billion after-tax loss in Q2. The securities that were sold had a book value of $34.4 billion and a weighted average book yield of 2.80% for the remainder of 2024 including the impact of hedges, the company said. Including the tax benefit, the repositioning yielded $29.3 billion for reinvestment, Truist said.

Truist said that the proceeds from the insurance unit sale and the balance sheet repositioning should boost net interest income by $160 million in Q2 and by $710 million for 2024.

Truist Financial ( TFC ) were up 0.4% in recent trading.

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