The trustees of the Andrew Limited Pension and Life Assurance Plan have completed a bulk purchase annuity transaction with Aviva. The £63m deal covers the pensions of all 570 members.
“The Trustees have worked together with a number of companies within the CommScope group to bring about a successful deal, that ran alongside important corporate activity for the Group. However, this was only possible due to a lot of work being completed over the previous 18 months as part of an integrated “journey plan” for the Scheme, with input from an amazing advisory team and a group of committed trustees. This involved undertaking data verification and benefit confirmation work, to ensure the Scheme was able to approach the bulk annuity market when the opportunity arose for additional financial support to seal the deal,” said Andrew Firbank of PAN Trustees, Chair of Trustees.
“Throughout the process, we’ve engaged directly with the Trustees, and that’s been massively helpful. We quickly developed a shared understanding of what was most important to them and what they could expect from Aviva, including our robust Aviva Clarity implementation process,” said John Fothergill, BPA Senior Deal Manager at Aviva.
“Working with an experienced team of advisers and well-prepared trustees has made for a very smooth transaction and positions us well to carry this momentum through the next stage of our partnership in providing a secure home for their scheme members.”
Consultants XPS led the transaction; the trustees received legal advice from Brabners LLP. Scheme actuarial advice was provided by Mercer Limited. CommScope Connectivity UK is the sponsoring employer of the plan.
“This transaction was structured at the very start to place a lot of importance on facilitating early direct discussions between the Trustees and potential insurers. By taking this approach and using our existing strong insurer relationships, it was possible to generate significant competitive tension with a wider range of insurers. As a result of this successful approach, members now have a robust long-term home for their pensions with Aviva and the sponsoring employer is no longer exposed to pension risk from the Plan,” said Harry Harper, Partner, Risk Settlement at XPS Group.