Lincoln Financial Group has entered into a significant long-term partnership with Bain Capital, which involves Bain acquiring a 9.9% equity stake in Lincoln for $825 million. This collaboration is a crucial development for both firms.

The partnership will establish a 10-year investment management relationship, with Bain Capital acting as an investment manager across various asset classes, including private credit, structured assets, mortgage loans, and private equity. This arrangement will provide Lincoln with a steady source of high-quality private assets, enhancing its existing multi-manager platform and offering improved risk-adjusted returns.

Ellen Cooper, Chairman, President, and CEO of Lincoln Financial, emphasized the importance of this partnership, stating it underscores their commitment to delivering long-term value to stakeholders. She noted that aligning with Bain Capital, a reputable organization, will help accelerate Lincoln's strategic execution and position the company for future success.

David Gross, Co-Managing Partner at Bain Capital, highlighted Lincoln's long-standing reputation as a trusted financial steward. He expressed enthusiasm for the partnership, which aims to leverage Bain's investment platform and expertise to support Lincoln's growth and profitability.

The definitive agreement allows Bain Capital to acquire its stake in Lincoln National Corporation (LNC) through an all-cash transaction. This involves the sale of approximately 18.8 million shares at $44.00 per share, representing a 25% premium over the 30-day volume-weighted average price as of April 8, 2025.

This transaction will provide Lincoln with essential capital to invest in strategic priorities, such as expanding spread-based earnings and optimizing its legacy life portfolio. Additionally, it will enhance Lincoln's financial flexibility, aiding in its goal to reduce its leverage ratio towards a target of 25%.

The deal is expected to close in the second half of 2025. Goldman Sachs & Co. LLC served as the financial advisor for Lincoln Financial, while Wachtell, Lipton, Rosen & Katz acted as legal advisor. Bain Capital received legal advice from Debevoise & Plimpton LLP and Ropes & Gray LLP, with Sumitomo Mitsui Banking Corporation acting as a structuring advisor.