Rexam Pension Plan completes £1.4bn buy-in with Rothesay

Written by Sophie Smith

26/01/2024

The Rexam Pension Plan has completed a £1.4bn full scheme buy-in with Rothesay securing the benefits for over 14,000 members, including 9,790 pensioners and dependants, and 4,330 deferred members.

The buy-in was a single premium insurance policy covering residual risks and no contribution was required from the sponsor, Ball Corporation.

Aon acted as the lead broker on the deal, while WTW provided actuarial advice and project management to the trustee, and LCP acted as the plan's investment advisers.

Rothesay and the scheme received legal advice from Eversheds Sutherland and Sackers, respectively, while A&O provided the company with legal advice.

Having agreed to structure the insurance premium as a specified pool of assets owned by the scheme, the economics of the transaction were fixed in August 2023, after which the scheme trustee, sponsor, Aon and Rothesay worked together to underwrite the residual risks of the scheme.

Rothesay business development, Cleo Taylor Smith, added: “From our first meeting with the scheme and sponsor it was clear that there was a strong cultural fit between our organisations and we are delighted to have worked so collaboratively together to secure the future for over 14,000 members. It has been a pleasure to work with the trustee to reach such a successful outcome.

“Last year was one of Rothesay’s busiest ever, with £12.7bn marking the second largest volume of annual new business we’ve ever completed. 2024 is looking equally, if not more, exciting with a currently unprecedented pipeline."

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