Three pension schemes sponsored by Baker Hughes – the Baker Hughes (UK) Pension Plan, the Brush Group Pension Scheme, and the Pipeline Integrity International Group Pension Scheme – have completed bulk purchase annuity buy-ins with PIC. The total value of all three deals is £900m.
“Achieving this transaction in expedited timescales is a great result for members and is testament to the highly collaborative approach between the trustees of all three schemes, the company, PIC and the hard work of our advisory teams,” said Sally Minchella, Director at Law Debenture and Chair of the Baker Hughes (UK) Pension Plan.
“We selected PIC due to their track record and focus on members, combined with their ability to meet our specific requirements. I’d like to thank our advisers for their hard work over many years to get the scheme to this point,” said Andrew McKinnon, Chair of the Brush Group Pension Scheme.
“We are very pleased to have completed this transaction which improves security for our members. The PIC team showed a flexible and innovative approach to ensure our members’ needs were met. I’m very grateful to our advisers for their hard work on this project and historically,” added Colin Mcfadden, Chair of the Pipeline Integrity International Group Pension Scheme.
WTW led the transactions and CMS provided transaction legal advice for all three schemes. WTW is the Scheme Actuary, LCP are the investment adviser, CMS are the legal adviser, and Aptia are the administrator to the Baker Hughes (UK) Pension Plan.
“It was great to lead this highly complex transaction for the three schemes, which required deep market knowledge, excellent teamwork and strong project management to meet everyone’s objectives,” said Shelly Beard, Managing Director at WTW.
Aon is the scheme actuary, administrator and investment adviser, Squire Patton Boggs are the legal adviser, and Cardano are the fiduciary manager to the Brush Group Pension Scheme.
First Actuarial provide actuarial, administration and investment services, and Irwin Mitchell are the legal adviser, to the Pipeline Integrity International Group Pension Scheme. PwC provided financial strength advice to the three Schemes. WTW and Baker McKenzie advised Baker Hughes. PIC was advised by Herbert Smith Freehills.
“It’s very rewarding having concluded these buy-ins with Baker Hughes. Each of the schemes covered had specific requirements that needed specialist structuring. It’s thanks to the fantastic teamwork of everyone involved that we were able to conclude the deal in a relatively short time frame,” said Matt Richards, Head of Origination Structuring at PIC.
