Lincoln Financial is selling part of the company to private equity firm Bain Capital as part of a bigger strategic partnership, writes Jeff Blumenthal for the Philadelphia Business Journal.
The life insurance and retirement product provider based in Radnor is selling 9.9 percent of the company to Bain for $825 million.
Lincoln Financial and Bain will begin a 10-year, non-exclusive relationship.
Bain would become an investment manager across different asset classes, including private credit, mortgage loans, and private equity.
Lincoln will sell about 18.8 million shares of its common stock for $44 a share.
Lincoln said the deal gives it the growth capital it needs to increase spread-based earnings, advance its portfolio management efforts, and optimize its legacy life portfolio.
The deal also gives Lincoln a cash infusion and financial flexibility to reduce its leverage ratio toward a 25 percent target.
Lincoln had suffered two years of annual losses before seeing a $3.2 billion profit in 2024.
Ellen Cooper, CEO of Lincoln Financial, called the Bain deal a “pivotal milestone,” stating that the 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.”
Find out more about the Lincoln Financial-Bain partnership in the Philadelphia Business Journal.
