Northwestern Mutual agrees to sell Russell Investments to London Stock Exchange Group

$2.7 billion sale benefits policyowners

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Jun 26, 2014, 03:12 ET

MILWAUKEE, June 26, 2014 /PRNewswire/ -- Northwestern Mutual today announced an agreement to sell the company's subsidiary company, Russell Investments, to the London Stock Exchange Group plc (LSEG) for $2.7 billion. The sale will be finalized later this year, pending regulatory and LSEG shareholder approvals and satisfaction of other closing conditions.

Russell is a global investment services firm that oversees almost $260 billion in assets, primarily for large, institutional investors such as pension funds. The firm also maintains well-respected stock indices such as the Russell 2000. Russell mutual funds are available to retail investors.

"The proceeds from the sale will cap off what has proven to be a good investment for Northwestern Mutual," said John Schlifske, chairman and CEO of Northwestern Mutual. "When you look at the income it produced over all that time and this sale price you see a great example of how we build value for policyowners of our mutual company."

Northwestern Mutual manages more than $184 billion in invested assets as part of its general account investment portfolio, which backs its insurance and annuity products.

Goldman, Sachs & Co. and J.P. Morgan Securities LLC acted as financial advisors to Northwestern Mutual on this transaction.

About Northwestern Mutual
Northwestern Mutual has been helping families and businesses achieve financial security for nearly 160 years. Our financial representatives build relationships with clients through a distinctive planning approach that integrates risk management with wealth accumulation, preservation and distribution. With more than $217 billion in assets, $26 billion in revenues and more than $1.5 trillion worth of life insurance protection in force, Northwestern Mutual delivers financial security to more than 4.2 million people who rely on us for insurance and investment solutions, including life, disability and long-term care insurance; annuities; trust services; mutual funds; and investment advisory products and services.

Northwestern Mutual is the marketing name for The Northwestern Mutual Life Insurance Company, Milwaukee, WI, and its subsidiaries. Northwestern Mutual and its subsidiaries offer a comprehensive approach to financial security solutions including: life insurance, long-term care insurance, disability income insurance, annuities, investment products, and advisory products and services. Subsidiaries include Northwestern Mutual Investment Services, LLC, broker-dealer, registered investment adviser, member FINRA and SIPC; the Northwestern Mutual Wealth Management Company, limited purpose federal savings bank; Northwestern Long Term Care Insurance Company; and Russell Investments.

SOURCE Northwestern Mutual