Lehman Brothers has won its first mergers and acquisitions mandate from Zurich Financial Services as the Swiss insurer plans sell part of its business and decides whether to bid for UK rival Friends Provident.

Zurich has hired Lehman to run the sale of part of its UK life insurance business in an attempt to release up to £1bn (€1.5bn), and the US bank is also thought to be advising Zurich on a possible move for Friends Provident.