Three transactions range from a £111m buy-in for an unnamed asset manager’s scheme to a sub-£4m deal for ME Group International’s pension fund.
The deal secures the benefits of 466 pensioner and deferred members of the UK-based company’s DB scheme.
The insurer said it had completed the deal “in a compressed timeline”, aided by collaboration between the trustees, the sponsor and other parties.
M&G has now written almost £1.5bn of bulk annuity business since re-entering the market in 2023.
Kerrigan Procter, managing director of corporate risk solutions at M&G, said the transaction “represents yet another important step in the delivery of M&G’s strategic objectives and showcases the team’s ability to work effectively and efficiently with clients to meet their derisking goals and deliver sustainable growth”.
He added that this year was expected to be “yet another strong year” for bulk annuity deals.
Roger Mattingly of Independent Governance Group, who chairs the pension scheme’s trustee board, said: “As trustees we are delighted with the policy secured with M&G, which provides certainty to the scheme members and the scheme sponsor on the financing of member benefits into the future. Our advisers and M&G worked well to achieve the transaction in short timescales.”
ME Group reveals L&G buy-in
Vending machine company ME Group International has revealed that it has secured its DB scheme through a buy-in with Legal & General (L&G).
According to its annual results, published this week, the company secured a deal for its Photo-Me International Pension Scheme with L&G in November. The scheme was valued at just under £4m at the end of 2024.
In its annual results, ME Group International stated: “The intention is that in due course these policies will be transferred into the name of the individual members and the fund wound up.”
Upon wind up, the company stands to recoup £1m from an escrow account set up to provide security to the pension scheme.
Charity insures £4.5m scheme with Just Group
The Boys’ Brigade – a youth group and charity based in the UK – has insured its £4.5m pension scheme with Just Group.
The deal secures the benefits of all 49 members of the pension scheme, including deferred and pensioner members. The scheme now plans to proceed to a full buyout.
Alistair Burrow, chair of the trustees, said the full scheme buy-in was secured without an additional contribution from the charity.
George Whitaker, deal lead at Broadstone, said: “It is great to demonstrate once again that well-prepared schemes of all sizes can achieve a cost-effective insurance transaction in a busy market.”
