Clifford Chance and Allen & Overy advise as Allianz buys £500m stake in UK insurer LV=

Magic circle duo Clifford Chance (CC) and Allen & Overy (A&O) are advising as German insurance giant Allianz strikes a joint venture deal with LV=.

Allianz will pay £500m for a 49% stake in the UK insurance company’s general insurance business, valued at just over £1bn.

LV= is formerly known as Liverpool Victoria.

The second part of the deal will take place in 2019 when Allianz will pay a further £213m for an additional 20.9% stake.

The joint venture will create the UK’s third largest personal insurer with more than £1.7bn in annual premium income, Allianz said in a statement today (4 August).

CC is advising LV=, with a London-based team led by corporate insurance partner Ashley Prebble, alongside corporate partners Katherine Coates and Hilary Evenett, corporate TMT partner Jonathan Kewley and competition partner Nelson Jung.

A&O is acting for Allianz with a team led by corporate partner Hans Diekmann in Duesseldorf, and head of insurance Philip Jarvis in London.

CC has a long-standing relationship with LV=. The firm was appointed to LV=’s corporate legal panel in 2012 and advised the insurer in 2015 when it took over the majority of insurer Teachers Provident Society’s business interests.

Last year, the firm was reappointed to the panel. Norton Rose Fulbright, Eversheds and Bond Dickinson were also reappointed.