Lincoln Financial and Bain Capital Forge Strategic Partnership
Lincoln Financial Group and Bain Capital have embarked on a significant long-term partnership, with Bain Capital acquiring a 9.9% equity stake in Lincoln for $825 million. This collaboration marks a pivotal milestone for both organizations.
As part of this alliance, the two companies will initiate a 10-year investment management relationship. Bain Capital will serve as an investment manager across diverse asset classes, including private credit, structured assets, mortgage loans, and private equity.
This strategic move provides Lincoln with access to a continuous source of high-quality private asset classes, offering differentiated risk-adjusted returns and enhancing Lincoln’s existing multi-manager platform.
Ellen Cooper, Chairman, President, and CEO of Lincoln Financial, stated, “Today’s announcement marks a pivotal milestone for Lincoln and underscores our commitment to delivering long-term value to our stakeholders. This partnership aligns us with a highly reputable organization whose powerful platform and shared values and goals will enable us to accelerate the execution of our strategy. We are extremely pleased with the strategic and financial benefits of our mutual capabilities and believe this partnership positions us for future success.”
David Gross, Co-Managing Partner at Bain Capital, added, “For over 120 years, Lincoln has served as a trusted financial steward for millions of people. This long-term, strategic relationship reflects our commitment to advancing Lincoln’s future by providing access to our high-quality investment platform, expertise across asset classes, and value-added capital. We look forward to working closely with the Lincoln team to further their organization in driving meaningful scale and profitable growth.”
The definitive agreement has been signed for Bain Capital to acquire a 9.9% equity stake in Lincoln National Corporation (LNC) through an all-cash transaction amounting to $825 million. LNC will sell approximately 18.8 million shares of common stock at $44.00 per share, representing a 25% premium to the 30-day volume-weighted average price as of April 8, 2025.
This transaction will provide Lincoln with the capital necessary to invest in its strategic priorities, such as expanding spread-based earnings, enhancing portfolio management, and optimizing its legacy life portfolio. Moreover, it offers Lincoln financial flexibility to accelerate its goal of reducing its leverage ratio towards its 25% target.
The transaction is anticipated to close in the second half of 2025.
Goldman Sachs & Co. LLC acted as financial advisor, and Wachtell, Lipton, Rosen & Katz served as legal advisor to Lincoln Financial. Sumitomo Mitsui Banking Corporation acted as structuring advisor, and Debevoise & Plimpton LLP, along with Ropes & Gray LLP, provided legal advice to Bain Capital.
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