On the go: Oil and gas production company RockRose has completed a full £610m buy-in with Rothesay Life for the Marathon Service Limited Pension and Life Assurance Scheme.
RockRose, which bought Marathon Oil’s UK business in 2019, initiated the transaction after identifying an opportunity on the back of beneficial market movements arising from Covid-19. The sponsor then worked closely with the trustees via a joint working group to lock into pricing quickly, a statement read.
The deal secures benefits in full for the 740 pensioners and 700 deferred members in the defined benefit scheme.
According to Andrew Austin, chair of RockRose, this transaction “gives certainty for the members’ pensions with an experienced and financially strong provider”, while also capping the financial risk to the sponsor.
Chris Martin, chair of trustees and executive chairman of ITS, said: “This transaction secures benefits in full for our members, ensuring a greatly enhanced level of security. We are delighted to have been able to secure this transaction in the current economic climate, which was only achieved by all parties working closely together.”
The transaction was led by LCP, acting for RockRose, with Sackers providing legal advice. The trustees were advised by Mercer and Herbert Smith Freehills. Legal advice was provided to Rothesay Life by Gowlings WLG.
