The Vector Pension Scheme has agreed a £114m ($143m) bulk purchase annuity (BPA) deal with Standard Life that will see the insurer take on the liabilities of 1,800 members.
The pension fund is sponsored by the UK arm of US water treatment firm Vector Industries and the deal was agreed in November 2023.
In a statement announcing the move, the chair of the Vector Pension Scheme trustees said that the transaction was the culmination of a multi-year process which involved the sale of the fund’s illiquid asset portfolio.
UK-based consulting firm XPS Pensions Group acted as the lead advisers to the trustee for the deal, while legal advice was provided by Osborne Clarke.
This is the second deal announced by Standard Life this year following a $380m BPA with the UK arm of tech firm Unisys in January.
Last year Standard Life agreed a $1.5bn BPA with pub firm Mitchells & Butler as well as a $1.3bn transaction with fellow insurer Chubb UK.