L&G agrees to Cable and Wireless £340m buy-in

The sponsoring company, Cable and Wireless Limited, is part of Liberty Latin America, a provider of telecommunications services in more than 20 countries. The fund is a long-standing client of Legal & General Investment Management (LGIM) and is an existing policyholder of L&G.

It marks the fund’s third and final transaction with L&G, following buy-ins in 2017 and 2019; the fund has now insured all of its members.

L&G said its tailored solution allowed the fund to secure a complex, multi-currency benefit structure, as well as a price lock to the value of the fund’s LGIM assets.

LCP advised the trustee of the fund throughout the transaction while legal advice was provided to the trustee of the fund by Hogan Lovells International. Clifford Chance provided legal advice to Legal & General.

Kai Hoffmann, director of Legal & General Retirement Institutional said the trustee and its advisers ran a very efficient process which allowed the fund to react to favourable market movements and implement an efficient solution for its complex benefits.

Dean Johnson, Trustee Director said: "With all benefits payable from the fund now matched by insurance contracts members can take great comfort in the security of their pensions in retirement.”

Matt Read, treasurer at Liberty Latin America said: “We are delighted the fund has reached the stage where all member benefits are insured.  This latest transaction leaves the fund in an incredibly strong position and is a great outcome for members of the Fund and the Sponsor.”

Ben Adams, partner at LCP added:“Market conditions have been changing rapidly in recent months and there were a number of complexities in this transaction including multi-currency benefits.  It has taken a great amount of effort and focus from all parties to achieve this and we are delighted to have played our part.”