Food company Samworth Brothers – owner of the Ginsters and West Cornwall Pasty Company brands – has insured its defined benefit (DB) pension scheme for £400m with Canada Life.
The transaction secures the benefits of more than 3,000 pensioners and 4,000 deferred members of the Samworth Brothers Limited Superannuation Scheme.
The insurance company said it had worked closely with the scheme’s trustee board to ensure the transition was “as seamless as possible” and supported the objectives of the trustees and employer.
Quentin Woodley, chair of the Samworth Brothers Limited Superannuation Scheme trustee board, said: “Three years ago, when the Scheme had a substantive buy-in shortfall, few would have imagined that achieving a full buy-in would be possible in such a timeframe.
“I would like to thank my fellow trustees for their dedication and commitment throughout this journey, and our advisers for their expertise and support throughout the process. I would also like to express our sincere gratitude to [Samworth Brothers], whose commitment, collaboration and support were instrumental in making this transaction possible.”
“This buy-in transaction is the result of clear priorities, strong collaboration and a well‑timed approach to the market – the key ingredients for a successful outcome.”
Canada Life chief executive Emma Watkins said: “Samworth Brothers is synonymous with good food and family, and we are proud to help secure long‑term security for more than 7,000 members of the superannuation scheme. This buy-in transaction is the result of clear priorities, strong collaboration and a well‑timed approach to the market – the key ingredients for a successful outcome.
“We are grateful to the trustees, the sponsor and their advisers for the constructive and pragmatic way they approached this transaction. Canada Life has been helping UK customers build and protect their financial futures for over 120 years, and we look forward to further supporting the trustees and members as we deliver dependable retirement income in the years to come.”
Sunita Kaushal, chief legal officer at Samworth Brothers, praised the work of the trustees and advisers, adding: “The transaction reflects what can be achieved through true partnership, clear focus, and a shared commitment to deliver the best possible outcome for all the members.”
LCP was the lead adviser to the trustees, while Gowling WLG provided legal advice. EY led the transaction execution and advice for Samworth Brothers as scheme sponsor, while Addleshaw Goddard provided legal advice to the sponsor. Canada Life’s in-house legal team was supported by CMS and Simmons & Simmons.
Imogen Cothay, partner at LCP, said the bulk annuity and risk transfer market was “highly competitive”, meaning the scheme received “strong engagement from insurers” during the selection process.
Cothay added: “All parties worked together decisively and swiftly, and we were able to complete the transaction in under three weeks between the selection of Canada Life and the execution of the contract.”
Swapnil Katkar, UK financial services partner at EY, said: “This buy-in was backed by substantial support and proactive market engagement from the sponsor, highlighting its commitment to secure the member benefits.
“We believe that this transaction further supports the consolidation of pension assets and economies of scale among providers – ultimately benefiting both UK savers and the economy.”
