UK - Schroder Investment Management has sold its DC administration business to Alexander Forbes and its consulting arm Lane, Clark & Peacock as part of Schroder's plan to refocus its core activities.
Alexander Forbes and Lane, Clark & Peacock have acquired Schroder Pensions for £22.5m, the net asset value of the business at the end of August. AF will own 75% of Schroder Pensions, while LCP will take a 25% stake.
The South African financial services firm said Schroder Pensions will be a perfect fit for LCP’s business, boosting the admin services it provides clients. AF also believes the acquisition will provide it with a “first-class base” to develop LCP’s DC business.
LCP strategy partner Tony Cunningham said: “LCP can now offer an enhanced range of services to our existing and prospective clients. We believe it offers us exciting opportunities, particularly to develop innovative solutions for companies with DC schemes and closed DB schemes.”
Additionally, Schroder has sold its stake in the index manager Schroder Hermes to Hermes Pensions Management. Schroder Hermes was set up in July 2000 as a joint venture between the two. The unit will be run by Ken Phillips, who will join Hermes as a director.
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