Bain aims to become NYSE-listed Lincoln Group’s strategic asset manager for the private capital. The closing may take place in 2H25.
Bain Capital will invest 825 million US Dollars for acquiring a 9.9% of NYSE-listed insurance and corporate benefit player Lincoln Financial Group through the subscription to a capital increase (press release and investors presentation).
The firms signed a ten-year asset management partnership. Bain Capital’s multim-manager platform will handle private credit, structured assets, mortgages, private equity, and other alternative asset classes for Lincoln to which it will grant a constant access to diversified risk\return investments.
Lincoln will issue 18.8 million new ordinary shares and price each of them at 44 US Dollars, which is a 25% reward compared to the weighted average of volumes traded in the last 30 days as of 8 April, Tuesday. The closing may take place in 2H25, subject to the completion of regulatory approvals.
Goldman Sachs & Co. LLC and Wachtell, Lipton, Rosen & Katz assisted Lincoln. Bain Capital retained Sumitomo Mitsui Banking Corporation as structuring advisor, while Debevoise & Plimpton LLP and Ropes & Gray LLP provided legal assistance.
Lincoln will invest the raised proceeds in strategic priorities such as the improvement of spread-based earnings, strengthening its investment portfolio and asset sourcing capabilities, and optimising the legacy portfolio in life insurance. The capital injection will also enable the company to accelerate the path of leverage ratio reduction towards the 25% target.
Ellen Cooper, chairwomand and ceo of Lincoln Financial, said: “This partnership is a milestone for our sustainable and profitable growth strategy. Bain Capital expertise in key sectors and the agreement on our value and targets will accelerate the long-term value creation.”
David Gross, co-managing partner of Bain Capital, added: “We are excited to support Lincoln with quality capital, industry expertise and access to our global platform. Our shared goal is to build scale and generate lasting profitable growth.”
