I wanted to let you know about the agreement we’ve reached today for Bain Capital to acquire LV=, subject to regulatory and member approval. Due to the nature of the deal, we are required to issue a stock exchange announcement and you can read a copy of this here.

The transaction will see Bain Capital acquire LV=’s savings & retirement and protection businesses. This agreement offers an opportunity for all members to benefit from a cash payment to compensate for loss of mutual membership and the With-profits Fund will be ring fenced and closed to new business allowing the capital to be distributed to members through enhanced exit payments.

This is the culmination of a Board-led, comprehensive and rigorous strategic review.  It is the Board’s unanimous view that the transaction with Bain Capital presents an excellent financial outcome for our With-profits members as well as offering an unrivalled commitment to LV=’s future prospects, business and people.

The partnership of LV= and Bain Capital has exciting potential to deliver even more for you and your customers.  We intend to continue to improve the competitiveness of our products and enhance our digital capabilities to better integrate with your practice management and advice systems and provide a better experience for both you and your clients.

Bain Capital’s long-term investment is also a strong endorsement of the attractiveness of the UK life and pensions market. The clarity it provides around the future of LV= represents a strengthening of our commitment to the market and means you can continue to recommend LV= with confidence.

We are aiming to complete the transaction by the end of 2021 – subject to the progression of the regulatory and legal processes as planned – in the meantime it remains business as usual.  I’d like to thank you for your support and look forward to continuing to work with you in the future.

Over the coming days we will be writing out to all of our members outlining this news, but in the meantime should any of your clients require further information please direct them to our member hub LV.com/future

You can find out more about the transaction at LV.com/futureplans on our LV= Adviser site.

Yours sincerely

Mark Hartigan,

LV= CEO