The purchase price represents a premium of around 26 per cent to the company’s closing price of $20.05 on March 12, the last day of trading before reports of a potential takeover surfaced.
NFP decided to set up a committee of independent director to explore a sale of the business after receiving strong interest from private equity firms including Madison and TPG Capital.
Madison Dearborn managing director Vahe Dombalagian said, “We are pleased to have this opportunity to invest in NFP and help the Company advance its strategy.
“We fully support NFP’s focus on providing high-quality and value-added services to all of its clients, including corporations, through a more unified brand across its business segments.”
Earlier this month it was reported that Madison and TPG had made the shortlist of bidders for NFP.
Elsewhere, Madison-backed IT services company CDW filed for a $500m IPO last month. The float would see it terminate its management services agreement with its private equity owners.
Since its launch in 1992 Madison Dearborn has raised six funds totalling more than $18bn and completed 125 investments.
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