LV= in exclusive talks with private equity bidder

Life insurance giant LV= might end up in new hands shortly, as it started talks with a US private equity giant a little over a year after selling its general insurance business.

LV=, the trading name of Liverpool Victoria, is in “exclusive” discussions with Bain Capital, which manages a massive portfolio worth more than 100 billion dollars (£77 billion).

In a statement to the market, LV=’s board said it had not hammered out a deal with Bain, nor the terms of any future sale.

“The Board of Liverpool Victoria Financial Services Limited (LV=) today announces that it is in exclusive discussions regarding a potential transaction involving Bain Capital,” it said.

“As previously stated, LV=’s Board’s focus is on maximising long-term value for its members and ensuring the business continues to be operated in their best interests, following the disposal of the general insurance business.”

Founded more than 180 years ago, LV= last year sold its stake in LV General Insurance to German giant Allianz.

The £578 million deal left LV= shareholders hanging on to the company’s life insurance business which could now go to Bain.

The company said: “Discussions between LV= and Bain Capital are ongoing and there can be no certainty that any transaction will be agreed, nor any certainty as to the terms on which any such transaction might proceed.

“Any transaction would also be subject to regulatory approval.”

It promised further announcements in time.