AssuredPartners Inc. will be put up for auction at a valuation of approximately $4.5 billion later in the first quarter, The Insurance Insider reported.

The auction is expected to commence around March. Bank of America Merrill Lynch was tapped to conduct the sale process for AssuredPartners' private equity backer, Apax Partners LLP.

The process will likely be limited to private equity firms and Canadian pension funds that have arms operating like private firms, according to banking sources. Apax took a majority stake in the company in 2015 at an undisclosed valuation, and sources said the firm is likely to book a healthy return on the transaction.

The $4.5 billion reflects estimated EBITDA of around $350 million and current high multiples in insurance brokerage deal-making, the Insider noted.