Legal & General Assurance Society has completed a £900 million buy-in with the ICI Pension Fund, securing the benefits of over 7,000 retirees.
The deal is ICI’s 12th transaction since its 2014 umbrella agreement with Legal & General. Legal & General has completed £7 billion in aggregate with ICI Pension and covers around 70 per cent of ICI Pension’s total liabilities. LCP and Allen & Overy advised the Trustee, while Macfarlanes represented Legal & General.
Legal & General Retirement Institutional CEO Andrew Kail says: “We are pleased to have deepened our relationship with the ICI Pension Fund in the most recent transaction. It falls almost ten years to the day since the Fund’s initial ground-breaking transaction with us in 2014 and highlights how well-advised pension schemes can achieve great results when they have a deep, collaborative, and trusted relationship with an insurer. We look forward to continuing to work closely with the Fund to secure its members’ pension liabilities.
Pensions Secretariat Services Limited chief executive Heath Mottram says: “The Trustee of the ICI Pension Fund is delighted to have completed this further buy-in transaction with Legal & General. The Trustee values its ongoing relationship with Legal & General as it continues its journey to secure the benefits of all of the members of the ICI Pension Fund.”
Lane Clark & Peacock LLP partner Clive Wellsteed says: “In a busy market dominated by full buy-ins, this pensioner-only transaction shows how a well-prepared scheme with a de-risked investment strategy can successfully insure benefits over time to achieve its objectives. This transaction was the 12th buy-in for the Fund with L&G, almost 10 years to the day since the Trustee completed its initial record-breaking £3bn transaction with L&G in 2014.”
