Kuvare US Holdings, the life insurance and annuity company, has announced that its affiliate, Guaranty Income Life Insurance Company, has entered into an agreement to acquire Lincoln Benefit Life Company (LBL) and its affiliates, subsidiaries of RL LP.
The transaction, which is set to close by year-end, will make LBL the third operating US life insurance business acquired by Kuvare since 2016.
It will join Guaranty Income Life Insurance Company, with headquarters in Baton Rouge, Louisiana, and United Life Insurance Company, located in Cedar Rapids, Iowa.
Including Kuvare’s Bermuda-based reinsurance firm, Kuvare Life Re, after the deal Chicago-based Kuvare will have pro forma consolidated assets exceeding $13 billion.
“Kuvare looks forward to LBL shortly joining our growing life and annuity insurance business,” said Kuvare’s Chief Executive Officer, Dhiren Jhaveri.
“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,” he continued.
“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.”
Carlos Sierra, Chief Operating Officer at Kuvare, also commented: “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,” he added.
The companies noted that the acquisition is subject to customary closing conditions, including regulatory approval by the Nebraska Department of Insurance, the domiciliary regulator of LBL.
Kuvare has been advised on the transaction by its financial advisor, J.P. Morgan Securities LLC, and its legal advisor, Sidley Austin LLP.
RL LP, meanwhile, has been advised on the Transaction by its financial advisor, Morgan Stanley & Co. LLC, and its legal advisor, Debevoise & Plimpton LLP.