Aviva has completed a £1.5bn bulk purchase annuity full-scheme buy-in with the Michelin Pension and Life Assurance Plan.
The transaction, completed in September 2024, includes an in-specie transfer of assets. It secures the benefits for c15,000 members of the Michelin Pension scheme.
CEO of insurance, wealth and retirement at Aviva, Doug Brown, said: “This is a significant deal showing the strength of our bulk purchase annuity business in securing good outcomes for pension-scheme members.
“We are well positioned to carry out large-scale transactions in addition to our capability in the small- and medium-scheme market.”
Vincent Dormieux, chair of trustees for Michelin Pension and Life Assurance plan added: “The Trustee is delighted to have improved the long-term security of members’ benefits by completing this buy-in transaction with Aviva.
“I’d like to place on record our sincere thanks to our full advisory team and to the Michelin Group for its support through the process.”
The Michelin Pension and Life Assurance Plan Trustee was advised by XPS Group and legal advice was provided by Pinsent Masons LLP.
Head of risk settlement at XPS Group, Stephen Purves, said: “We’re really pleased to have led on this important transaction and to have helped the Trustee secure its members’ benefits with Aviva.”
Aviva operates in the UK, Ireland and Canada, and also has international investments in India and China.
The insurance giant has 19.5 million customers and its total assets under management were £398bn as of 30 June 2024.
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