Mativ, a global specialty materials producer, has completed a full scheme buy-in for two of its pension schemes with UK pensions insurance specialist Rothesay.
The full scheme buy-in deal, worth £105m (€121m), protects the pensions of 1,341 members across both pension funds, insuring £100m of pension benefits for the Scapa Group Limited Pension Scheme, sponsored by Scapa Group, and £5m of benefits for the Fibermark UK Pension Plan, sponsored by Neemah Red Bridge International.
Mercer acted as the lead risk transfer adviser on the deal, Rothesay received legal advice from Eversheds Sutherland and the trustee was advised by Pinsent Masons.
Rebecca Wood of Vidett and chair of trustees, said: “Completing this buy-in is an important step for the schemes in providing pension security for all of our members. Rothesay’s proven execution capabilities and ability to innovate enabled a smooth transaction despite the more complex multi-scheme arrangement.”
Roisin O’Shea, business development at Rothesay, said: “Rothesay is committed to providing bespoke de-risking solutions for all of its clients and we are pleased to now protect the pensions of both schemes, delivering on the trustees’ commitment to secure the future for their members.”
She added that the pension risk transfer market “continues to be busy and competitive” as pension funds of all sizes seek an insurance transaction as part of their long-term endgame strategy.
John Martin, principal at Mercer, noted: “The pensions de-risking market remains highly competitive, yet this transaction demonstrates that there is capacity for all well-prepared schemes to secure the future for their members – even complex ones.”
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