This is a full scheme bulk purchase annuity arrangement which completed in November 2023. XPS Pensions Group (“XPS”) acted as the lead advisers to the Trustee for this transaction, while legal advice was provided by Osborne Clarke LLP (“Osborne Clarke”).
The Trustee of the Scheme worked with Standard Life over an extended period to monitor transaction affordability, alongside managing the Scheme’s illiquid asset holdings. Standard Life, the Trustee, and their advisers completed significant preparation work such that once the Scheme’s assets were transaction-ready, the Trustee was able to move quickly to secure member benefits.
Rhian Littlewood, Senior Business Development Manager at Standard Life, said: “We have worked closely with the Trustee for over two years to monitor the Scheme’s funding position and strategy for managing the sale of the Scheme’s illiquid asset holdings. Working closely with the Scheme’s advisers to agree contractual terms in advance meant the Scheme was well positioned to move quickly on a transaction when the time was right. This collaborative approach ensured a smooth and efficient de-risking process for the Scheme, securing the liabilities for c. 1800 members.”
Ash Williams, a Partner in the XPS Risk Settlement team and lead broker, said: “We are really pleased to have led the Trustee through this transaction which brings together several years of hard work from all stakeholders and importantly secures pensions for the Scheme members with Standard Life. The collaborative and close partnership with Standard Life and the innovative execution structure agreed up front was effective and allowed the Trustee to take advantage of optimal market conditions and complete the transaction.”
Stephen Smith, Chair of the Trustee, said: We are delighted to have brought security to our members' pensions via our policy with Standard Life. This was a complicated project that ran over several years and we thank XPS and Osborne Clarke for the clarity and expertise they brought in assisting us through the process. Standard Life have been an open and willing partner through the project, and we look forward to working closely with them in the future.
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