Primerica Agrees to Acquire e-Telequote: Deals

What You Need to Know

  • Primerica could provide up to $575 million in cash payments and financing.
  • Simplicity, Integrity Marketing and Hilb are all on acquisition hunt.
  • Anthem is backing a new health tech company.

Allison Bell, April 20, 2021

Primerica Inc., the Duluth, Georgia-based life insurer, has agreed to acquire Etelequote Ltd., which distributes Medicare plans online and through call companies, in a deal that could close by July 1.

Etelequote is a 10-year-old, Clearwater, Florida-based company that  has about 150,000 customers.

Primerica could end up spending about $575 million on the company, which is commonly known as e-TeleQuote.

The Resource Group International Ltd. now owns 70.25% of Etelequote’s stock, and Etelequote’s managers own 9.75%.

Primerica plans to start by buying 80% of the e-TeleQuote operating subsidiaries, then buying the rest of Etelequote over a four-year period, the companies say.

Primerica says it will pay $360 million for the 80% equity stake, refinance $150 million in Etelequote debt, and provide a $15 million seller’s note.

If the Etelequote operations do well this year and next, the Etelequote stockholders could get $50 million in additional cash, the companies say.

1615194