Heather Green, Telent’s chief financial officer, said: “The trustee of the GEC 1972 Plan has done a fantastic job to eliminate the significant funding deficit that existed in the plan only 10 years ago and get the scheme to a position where it can benefit from the hugely more secure future that this transaction provides…“For Telent, being the sponsor of a scheme many times larger than our business was not ideal. We can now look forward to focusing more of our investment in our already successful technology solutions business.”Brian Duffin, chairman of Stanhope Pension Trust, the scheme’s corporate trustee company, said the trustee had decided more than five years ago to target a buyout.“Thanks to support from our sponsor Telent, and to an innovative investment strategy based on credit assets, we are now close to achieving our target,” Duffin said.According to Redington, one of the trustee board’s advisers, the buyout had been secured 15 years ahead of the scheme’s initial target date.Sammy Cooper-Smith, co-head of business development at Rothesay Life, said: “From our very first meeting with Telent, the trustee and Aon, they could not have been clearer as to what was required for the buyout to take place. This direct articulation allowed us to focus our resources and attention to meet these requirements and ensure the completion of the largest full scheme buy-out ever undertaken in the UK.”Rothesay Life, a specialist pension fund insurer, had £37.7bn in assets as of 30 June 2019 and has grown significantly in recent years as a result of the UK’s booming bulk annuity market.Earlier this month the company announced plans to raise £500m from its shareholders to prepare for a bumper period of new deals.According to data from consultancy firm LCP, the Telent transaction meant 2019 was already a record year for buy-in and buyout deals, exceeding the £24.2bn worth of new business completed in 2018. With three months of the year left, most insurers and advisers have reported significant pipelines of deals yet to be completed. Technology company Telent has secured a £4.7bn (€5.3bn) insurance buyout with Rothesay Life, the largest ever completed in the UK.The company’s GEC 1972 Plan, a defined benefit scheme, will be insured by Rothesay through a buy-in – which remains as an asset of the pension fund – before being converted into a full buyout “before the end of 2022”, according to a statement from Aon, which advised on the transaction.Upon conversion to a buyout, Rothesay will take on full responsibility for running the pension fund and serving its 39,000 members.When complete, the deal will be the largest buyout ever completed, and covers 28,000 pensioners and 11,000 deferred members.
RelatedPosts Minister gives condition for resumption of contact sports Minister pledges support for development of AI, robotics in Nigeria NSF 2020: Sports minister raises fresh hope The Minister of Youths and Sports Development, Sunday Dare, on Thursday in Abuja said the ministry was already looking beyond Nigeria’s participation at the 2020 Tokyo Olympics.Dare, while declaring open the 2019 Annual General Meeting of the Nigeria Olympic Committee, said the move was in the area of all-round preparedness for major international sporting events.Represented by Adesola Olusade, the ministry’s Permanent Secretary, Dare stated that commendable progress had been made by the ministry for corporate organisations and charitable individuals to take up sports sponsorship.“Yes, the Olympics holds every four years but the preparations and level of preparedness which goes into it take more than four years.“So, we have commenced preparations for the Tokyo Games with the inauguration of the `Ministerial Committee on Tokyo 2020’.“However, preparations for the next Olympics after Tokyo, as well as other international sports events, should start now if we want to achieve success at the world stage,” Dare said.The minister, who has emphasised the importance of corporate sponsorship of sports activities to complement government’s intervention, said efforts in that regard have started yielding results.“We have secured the support of Dangote Group to renovate the main bowl of the Moshood Abiola National Stadium in Abuja. We have also secured similar support for the National Stadium in Lagos,” he said.Dare, however, said it might take longer for renovation work to commence on the Lagos stadium due to its state of disrepair.He also commended the NOC for its collaboration and cordial relationship with his ministry and urged the Committee not to relent in efforts to grow Nigerian sports further.Earlier in his welcome address, President of the NOC, Habu Gumel, had called for the cooperation of all stakeholders in moving sports forward in Nigeria.“What is most important to us at the end of the day is for Nigeria’s National Anthem to be played repeatedly on the podium at the Tokyo Games.“Let us all collaborate and work together for the success of our nation,” Gumel said.Gumel, who is also a member of the International Olympic Committee, commended Dare and the Federal Ministry of Youths and Sports Development for sourcing alternative funding for sports.He said it should be clear to all by now that government alone cannot adequately fund sports in such a way that guarantees success.“Unfortunately, in many African countries, government is the sole financier of sports.“While many claim that such tendency impedes the autonomy of sports federations, my opinion is that what we need is collaboration,” Gumel said.He therefore appealed to multinational and corporate organisations to support sports development by sponsoring federations, funding events and assisting talent development.Gumel also commended the Sports Ministry for delivering on the building of the Secretariat of Association of National Olympic Committees of Africa in record time.He added: “We can all recall that Thomas Bach, the IOC President, recently commissioned the secretariat in Abuja.’’ Tags: Adesola OlusadeSunday DareYouth and Sports Development