Benoit Hudon: This deal will allow us to continue to expand globally beyond pensions
Mercer has announced it has reached an agreement to acquire Cardano.
The retirement consulting and investment firm, which is part of Marsh McLennan, said the transaction was expected to close near the end of 2024, subject to regulatory approvals.
Terms of the transaction were not disclosed.
As part of the deal, approximately 550 Cardano colleagues in London, Nottingham and Rotterdam will join Mercer, upon completion of the transaction.
Cardano offers a range of fiduciary management, investment advisory services, and liability-driven investing and derivatives solutions to both defined benefit (DB) and defined contribution (DC) pension schemes in the UK and the Netherlands, the two largest pensions markets in Europe.
Cardano offers a combination of direct investment capabilities and external manager selection. Through Now Pensions, Cardano also operates the third largest UK master trust platform, serving more than two million savers across 27,000 employers.
Mercer Wealth president Michael Dempsey said: "We are excited about the opportunity to welcome Cardano to our Wealth business, which brings with it a high-quality team and complementary range of specialist investment capabilities.
"The acquisition and alignment of our expertise and capabilities represents a unique and timely combination to support pension clients and other institutional investors and their evolving needs."
Mercer UK president and chief executive Benoit Hudon said the deal would position Mercer as "the pension provider of choice" in the UK and the Netherlands.
He said: "This will allow us to continue to expand globally beyond pensions to serve other large asset owners, including endowments and foundations, family offices and insurers," said,. "As always, our aspiration is to drive even greater value for our institutional investor clients and help deliver brighter futures for millions of savers."
Cardano Group chief executive Michaël De Lathauwer added: "Mercer is the ideal long-term home for our business and clients.
"We share an aligned culture with Mercer, focused on delivering excellent outcomes for clients, and together, we are committed to being the best solutions provider for UK and Dutch pension schemes. I am thrilled our clients and colleagues will have access to everything Mercer offers, including global resources, a deep bench of investment talent, strategic advice, manager research and alternative investment advice. We look forward to being one multi-disciplinary team and helping our clients navigate the evolving pension and investment landscape."
