On the go: The circa £69.1mn Robinson & Sons Limited Pension Fund has agreed a full buy-in of its £44mn of pension scheme liabilities with Legal & General.
The deal will cover all pensions for the scheme’s approximately 500 members and eligible dependants.
The purchase of the policy will be financed entirely using existing assets held within the scheme, which is in surplus.
When market conditions allow, the scheme – sponsored by manufacturer of plastic and paperboard packaging Robinson – plans to enter into a full buyout once a data cleanse exercise has been conducted. This is expected to be completed by the end of 2023.
“The transaction is an excellent outcome for our defined benefit pension scheme members, the group and our shareholders,” Robinson chair Alan Raleigh said.
“We have worked hard with the scheme trustees to reach this position and those efforts mean that the scheme can now be fully derisked for the benefit of members and the group.”
The scheme closed to new entrants in 1997 and there are nine remaining active members who, subject to the outcome of a consultation process, would cease accrual and be offered pensions in the group’s money purchase scheme.
The money purchase pension scheme has been delivered via an L&G Mastertrust since 2019.
Legal & General Investment Management was also the sole manager of the DB scheme prior to the buy-in.
This article originally appeared on MandateWire.com
