LONDON, October 17, 2016
Lincoln International LP, the leading global, mid-market investment bank, announces today that it has sold the firm’s UK pensions advisory business, Lincoln Pensions, to the Cardano Group for an undisclosed sum. This transaction allows the firm to focus on, and grow, at an accelerated pace its core global investment banking services.
Lincoln International established Lincoln Pensions, a UK-only business, in response to the introduction of specific UK pensions regulations in 2005. As a specialist subsidiary of Lincoln International, the business has focused on providing specialist pensions covenant advice to its core client base of defined-benefit pension plans and their trustees. It has become, over recent years, the leading independent market leader on these issues. The sale will allow Lincoln Pensions and investment risk specialist, Cardano, to more fully integrate investment risk, economic scenario testing and covenant advice within each of their respective offerings.
Divesting Lincoln Pensions, which in 2015 represented less than 5% of Lincoln International’s global revenues, to a highly strategic buyer provides the proceeds for Lincoln International to aggressively grow its global service offering and focuses its UK business on its core competencies and client base. The Investment Banking revenues in 2015 represented approximately 65% of the total Lincoln International business in the UK and Lincoln Pensions approximately 35%.
Phil McCreanor, the current Head of UK M&A, has been appointed Head of UK Investment Banking and will be appointed as the management representative on the UK board. He will continue to lead the M&A team. The former UK CEO and management representative on the UK board, Darren Redmayne, has moved with Lincoln Pensions to Cardano.
Mr. Redmayne will retain a relationship with Lincoln International through a continuing role as a Senior Advisor to the global firm. Additionally, Lincoln International, Lincoln Pensions and Cardano have agreed on a continuing strategic relationship whereby there will be cross referrals of business. Lincoln International and Lincoln Pensions may also work together on joint projects.
Jim Lawson, Chairman of Lincoln International said, “The sale of Lincoln Pensions represents a ‘win-win-win’ – Lincoln International receives capital to further invest in its core investment banking operations, Lincoln Pensions becomes part of a firm completely focused on pensions integrated risk management, and Cardano gains a valuable and complementary business. Despite Brexit and other world issues, we see significant opportunity globally and so will reinvest the proceeds of the transaction in continuing to grow our UK and global advisory businesses. We look forward to working with Cardano and Lincoln Pensions as part of our new strategic partnership. We thank Darren Redmayne and the entire Lincoln Pensions team for their contributions to Lincoln International.”
Phil McCreanor, Head of UK Investment Banking said, “Lincoln International has made huge progress in penetrating the highly-competitive UK M&A marketplace. Last year was a record year and, despite Brexit, we are on track to have another record year this year. I look forward to continuing to aggressively grow the presence of Lincoln International in the UK.”
Darren Redmayne, former UK CEO & Head of Lincoln Pensions said, “It has been a privilege over the past nine years to help establish and build Lincoln International in the UK from a start-up into a thriving multi-service investment banking business. I look forward to continuing to work with Lincoln International as a Senior Advisor to the firm and wish Lincoln’s London operation continued success.”
Kerrin Rosenberg, CEO of Cardano UK, added: “The expertise and services offered by Cardano and Lincoln Pensions are highly complementary. Working in the same group will allow us to more effectively draw upon our combined knowledge on the investment and covenant sides of the IRM equation, allowing us to develop services for our clients and offer a comprehensive approach to risk. We also look forward to working with Lincoln International under our new strategic partnership.”
