NEW YORK — Assurant, which provides vehicle service contracts through its Assurant Solutions business unit, announced the closing of its acquisition of The Warranty Group from TPG Capital.

Following the closing, the risk management solutions provider announced several appointments to its global automotive leadership team, including the appointment of John Laudenslager as president of Assurant Global Automotive.

“We are excited to close our acquisition of The Warranty Group, which significantly advances our global lifestyle growth strategy of helping consumers protect their appliances, mobile devices, and electronics, while solidifying our global position as the premier provider of vehicle protection services,” said Assurant President and CEO Alan Colberg. “The combination of our two companies will support ongoing product and service innovation for the consumer, while we expect to realize significant operating synergies and generate more diversified and predictable earnings over time.”

The transaction’s $2.5 billion total enterprise value reflects approximately 10.4 million Assurant shares, or $993 million based on the acquisition agreement’s closing price, and approximately $1.5 billion in cash — after considering the repayment of The Warranty Group’s $596 million in existing debt.

The Warranty Group, which has annualized revenues of more than $2 billion (as of March 31, 2018), brings new client partnerships and distribution channels, including dealer networks and national accounts to Assurant. Jointly operating across 21 countries, the addition of The Warranty Group also provides additional resources to accelerate the company’s mobile strategy in key markets such as Asia-Pacific, according to company officials.

As part of the transaction, Peter McGoohan and Eric Leathers, both representatives of TPG Capital, will join Assurant’s board of directors and serve on the board’s compensation and finance and risk committees, respectively.

Laudenslager, a 30-year industry veteran who previously served as president of Assurant’s global vehicle protection services operations, will now lead a team consisting of executives from both companies. “With John at the helm of our global automotive business, this team will leverage our collective expertise in risk management, product innovation, operations, client services and program optimization to best support our clients and their customers,” said Keith Demmings, president of Assurant’s global lifestyle business unit.

On Laudenslager’s leadership team is Charlie Robinson, who will continue to lead the team serving the U.S. dealership and agent distribution channels as president of Assurant Resource Automotive — a role he held with The Warranty Group. He brings more than 40 years of experience in the F&I segments of the automobile retail industry.

Additionally, Justin Thomas, former executive vice president of The Warranty Group’s North American Specialty Solutions division, will now lead U.S. automotive national accounts for the combined companies. He will also serve as president of financial services at Assurant. Thomas spent 11 years with The Warranty Group, serving in various account management, sales, and operations positions across the company’s auto, appliance, technology, and administration groups.

Assurant officials also announced that Daniel Lenczner, the firm’s former senior vice president of strategic business development, will assume the role of senior vice president of the company’s third-party administrator group. He has more than 25 years of experience in the automotive and insurance industries.

Assurant also announced changes to its international leadership team. Those appointments can be found here.  

“I’m looking forward to leading this talented team, which brings together the best of both organizations,” said Laudenslager. “The collective experience of this team will provide continuity and additional value and benefits to our clients, while also driving innovation in the vehicle protection industry.”