Kuvare to acquire Nebraska-based Lincoln Benefit Life

Insurance acquisition news : Kuvare US said that its affiliate – Guaranty Income Life Insurance has signed a deal to acquire Lincoln Benefit Life and its affiliates (LBL) from RL LP, a Bermuda limited partnership, for an undisclosed price, as per the latest insurance industry news.

RL LP is managed by its general partner, RL GP, which in turn is a fully-owned subsidiary of Resolution Capital, a specialist manager of in-force life insurance policies.

Headquartered in Nebraska, Lincoln Benefit Life has been offering life insurance and annuity solutions since 1938. The company, which is based in Lincoln, also has administrative offices in Rosemont, Illinois.

Lincoln Benefit Life caters to nearly 200,000 policyholders and is licensed in 49 US states. The company is rated A- (Excellent) by A.M. Best and BBB (Good) by Standard & Poor’s.

Kuvare acquisition of Lincoln Benefit Life is anticipated to be wrapped up by the year-end and will be subject to customary closing conditions such as regulatory approval from the Nebraska Department of Insurance.

Commenting on Kuvare acquisition of Lincoln Benefit Life, Dhiren Jhaveri – CEO of Kuvare, said: “Kuvare looks forward to LBL shortly joining our growing life and annuity insurance business. The LBL organization has been a leader within the US life insurance industry for decades, and the Lincoln Benefit brand is recognized throughout the country for insurance excellence. Over its 80-year track record, most recently under the ownership of RL LP, LBL has a rich tradition of offering high-quality policyholder service.”

Lincoln Benefit Life will be the third operating life insurance business in the US acquired since 2016 by Kuvare. It will join Baton Rouge-based Guaranty Income Life Insurance and Cedar Rapids-based United Life Insurance.

Upon completion of the acquisition, the Chicago-based Kuvare will have pro forma consolidated assets in excess of $13 billion, which also includes that of Kuvare Life Re, its Bermuda-based reinsurance company.

Carlos Sierra – Chief Operating Officer of Kuvare, commenting on Kuvare acquisition of Lincoln Benefit Life, said: “For Kuvare, this is an excellent fit, as it provides tremendous strategic value through its nationwide scale, strong operating capabilities, and a team of talented and experienced professionals that have greatly impressed us throughout the sale process. LBL is a strong complement to Kuvare’s other insurance businesses and will help us achieve our long-term growth objectives.”

Kuvare has been advised on the acquisition by J.P. Morgan Securities in the role of a financial advisor, while the legal advisor is Sidley Austin.

RL LP, on the other hand, has been advised on the deal by Morgan Stanley & Co as the financial advisor, while its legal advisor has been Debevoise & Plimpton.

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