This benefits the business, The Hartford to acquire Equitable’s employee benefits business

The Hartford (NYSE: HIG) has entered into a definitive agreement to acquire the employee benefits business of Equitable, a franchise of Equitable Holdings, Inc., according to a company press release.

The transaction covers Equitable’s employee benefits portfolio, which includes group life, disability, paid family and medical leave, supplemental health, dental, and vision products aimed at small and midsize employers. The business represents approximately $500 million in premium.

The Hartford will also acquire Equitable’s employee benefits technology platform, which includes digital capabilities and real-time API integrations. Approximately 300 employees who support the acquired business are expected to join The Hartford upon closing.

The transaction is expected to close in the fourth quarter, subject to regulatory approvals and other customary closing conditions. Financial terms were not disclosed. The Hartford stated the deal does not change its previously announced capital management plans.

Christopher Swift, chairman and CEO of The Hartford, said the acquisition “reinforces The Hartford’s leadership in employee benefits and small business,” adding that small and midsize employers represent a strategic growth opportunity for its employee benefits segment.

Rothschild & Co served as financial advisor to The Hartford, with Sidley Austin LLP as legal advisor. J.P. Morgan served as financial advisor to Equitable, with Debevoise & Plimpton LLP as legal advisor.