Hildene Capital Management, LLC, a credit-focused alternative asset manager, has signed a definitive agreement to acquire SILAC, Inc., the parent company of SILAC Insurance Company.
Founded in 1935, SILAC provides fixed and fixed-indexed annuity products in the United States and is headquartered in Carmel, Indiana, with operations in 48 states and the District of Columbia.
Under the agreement, Hilden will acquire all outstanding common shares of SILAC for approximately $550 million in cash. The transaction is expected to close in mid-2026, subject to customary closing conditions, including receipt of required regulatory approvals.
The acquisition will support the continued growth of Hilden’s insurance solutions platform. Hildene aims to leverage its expertise in the alternative investments sector to provide investment and risk management strategies to promote growth and strengthen SILAC’s financial stability for the benefit of policyholders.
For SILAC, the transaction will enable the company to embark on a new chapter of growth driven by strong industry momentum and provide additional resources to help consumers achieve their retirement goals.
Since 2023, Hilden has managed part of the SILAC portfolio. Following the acquisition, Hildene expects to expand its investment management relationships to cover all of SILAC’s investment assets.
In January 2023, SILAC Insurance Company entered into a $2.5 billion quota share reinsurance agreement with Hilden affiliate Ludlow Re to provide reinsurance for SILAC’s annuity products. The agreement is part of a long-term strategic alliance under which Hilden also acquires a strategic minority stake in SILAC.
Upon completion of the transaction, G. Daniel Acker, SILAC’s current president and chief marketing officer, will serve as CEO, while Stephen Hilbert will resign.
Hildene and SILAC also plan to strengthen SILAC’s leadership team through external recruitment to support continued growth and strategic goals.
“This acquisition is an important turning point for SILAC,” said Acker. “This will allow us to accelerate our strategy and further strengthen our capabilities as a leading annuity provider. Our employees, partners, agents and policyholders will benefit from our continued focus on innovation and strong distribution model, especially as demand for annuity products continues to grow.”
“The acquisition of SILAC will enhance their ability to serve the long-term interests of policyholders while expanding Hildene’s product offerings and enhancing our platform and origination capabilities,” said Brett Jefferson, President and Co-Chief Investment Officer of Hildene. “Since our founding, Hildene has been a pioneer in credit investing, maintaining a disciplined approach to asset management.”
Separately, global investment banking and capital markets firm Jefferies Financial Group Inc. is acquiring a 50% stake in Hildene Holding Company, LLC, the parent company of Hildene Capital Management and its affiliates. The transaction is expected to close in the third quarter of 2026.
Jefferies previously entered into a strategic partnership with Hilden in 2022 and owns a revenue share of Hilden’s asset management business. Under the new arrangement, Jefferies will exchange its revenue share, a partial interest in a private equity fund managed by Hilden and $340 million in cash in exchange for Hilden’s 50% interest. Hildene’s principals will contribute their current ownership and approximately $250 million in fund and related equity and retain the remaining 50% of the company.
Upon completion of the transaction, Hildene will also hold a majority stake in Hildene Re SPC, Ltd., a Cayman Islands life and annuity reinsurance company.
Jefferies’ $340 million cash investment will be effectively funded by an expected reduction of more than $500 million in investments in certain platforms and strategies within its Leucadia Asset Management unit during 2026. The investment in Hildene is expected to be immediately accretive and continue to contribute to Jefferies’ net profits. Jefferies will not consolidate Hildene or SILAC and will account for its investment using the equity method, recording its 50% share of Hildene’s consolidated earnings. Upon completion of the transaction, Jefferies expects to receive pre-tax proceeds of approximately $75 million from a mark-up on the fair market value of Hilden’s interest prior to the transaction.
Jefferies CEO Rich Handler and Jefferies President Brian Friedman said: “We are pleased to expand our relationship with Hildene’s management team and expand Hildene’s long-term opportunities with the acquisition of SILAC. The origination and management of credit investment opportunities remains a core part of Jefferies’ long-term strategy.”
“Since our launch in 2008, we have been committed to investing in innovative credit products that continue to deliver strong risk-adjusted returns for our clients,” added Jefferson and Dushyant Mehra, Hildene’s co-chief investment officers. “We believe that expanding our partnership with Jefferies and completing the acquisition of SILAC will allow us to expand our platform, expand our origination capabilities and support the long-term interests of SILAC policyholders while meeting the evolving needs of our clients and capital partners.”