Evonik schemes strike bulk annuity deal with L&G
On the go: Chemical company Evonik UK has concluded a £544m full buy-in for four of its UK pension schemes with Legal & General.
The four pension schemes, sponsored by Evonik UK Holdings, have merged into one to facilitate the transaction, which secures the benefits of 3,600 members.
The transaction was concluded at the end of 2020, following just three months of discussions with the trustee, the company and L&G.
The deal forms part of a wider global derisking process for Evonik. In September 2020, the US Evonik Corporation Retirement Plan agreed a $93m (£68m) lift-out with L&G, which covered 1,700 pensioners.
At year-end 2019, Evonik had total plan assets of €8.4bn (£7.5bn), with €7.1bn in its German plans, €455m in its US plans and €630m in its UK plans, according to Evonik’s annual report.
Advisers included LCP, Hogan Lovells, Aon as scheme actuary and investment adviser to the trustee, and Willis Towers Watson and Eversheds Sutherland for actuarial and legal advice to Evonik.
This article originally appeared on mandatewire.com
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