Philadelphia-based Lincoln Financial Group (LFG) has signed a definitive stock purchase agreement to sell its UK unit Lincoln National, in order to shift capital to core US businesses. Sun Life Financial of Canada UK (SLF) will acquire Lincoln National for an estimated £195 million in cash.
Final proceeds will be subject to potential purchase price adjustments related to market and business performance between signing and closing, as well as a potential adjustment related to the Lincoln UK pension plan.
Morgan Stanley is acting as financial advisor to LFG. The transaction is expected to close on or around September 30, 2009, subject to customary closing conditions.
Lincoln Financial Group is the marketing name for Lincoln National Corporation and its affiliates. Through its affiliated companies such as Delaware Investments, it offers annuities, life, group life and disability insurance, savings plans, mutual funds, managed accounts, institutional investments, comprehensive financial planning and advisory services.
