Unnamed scheme secures £361m full buy-in with Canada Life

The transaction – which is Canada Life's largest single transaction to date covering deferred lives – secures the benefits of over 850 deferred members and around 650 pensioner members.

Mercer acted as lead broker on the deal and was de-risking and investment adviser to the trustees during the process.

Capita was actuarial adviser and administrator to the scheme, while Canada Life was advised by Eversheds Sutherland and the employer was advised by Sackers.

The trustees received legal advice from CMS.

Canada Life business development director, bulk purchase annuities Shreyas Sridhar said: "Completing this transaction is a significant milestone for Canada Life. It is our largest deal to date covering deferred lives, and continuing evidence that we have the capability to look after complex schemes with both deferred members and pensioners.

"This was a highly competitive tender process, and we are delighted that the trustees chose Canada Life to insure the benefits of its members. By working with the trustees and advisers, and building on the scheme's strong funding position, we helped to secure improved benefits for the members that will enhance their financial security in retirement. We look forward to continuing the momentum that we have worked hard to build into 2025 and beyond."

Mercer risk transfer principal Andrew Pugh added: "As the lead broker on this buy-in, it is rewarding to see the scheme's de-risking journey conclude in a way that secured all the members' benefits and some agreed augmentations the trustees had asked for. Mercer has advised this scheme for a considerable period of time on reducing investment risk and we undertook a clear and streamlined broking process which resulted in a large amount of interest from insurers and, ultimately, a positive outcome for the trustees, members and the sponsoring company."

CMS partner Natalie Mee said: "It was fantastic to advise the trustees on this significant buy-in transaction with Canada Life. It was a real team effort to get this over the line, and thanks go to all of the dedicated trustees, their advisers, and the excellent teams at CMS and Canada Life for all their hard work."

She said the deal marks an "important milestone for the trustees and the scheme".

"We are proud to have played a role in securing a positive outcome for the members."

Canada Life has announced several bulk annuity deals in the last year, including a £250m full buy-in with Kion Group, a £70m buy-in deal with the West Bromwich Building Society, and a buy-in deal with two unnamed schemes worth £85m.