BDO schemes with complex benefits agree full buy-in
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The BDO ES Pension Scheme, with 100 deferred members and 382 pensioners, and the BDO Pension Scheme with 191 deferred members and 330 pensioners have signed a £60m full buy-in.
The trustees for the schemes that are sponsored by accountancy firm BDO chose to insure liabilities with Just Group.
Advisers Broadstone said significant work was done to address “some complex benefit specification requirements given the acquisitive nature of the sponsor” which meant that each scheme had several categories of benefits from previous mergers.
For the past 12 months, a joint working group sought to ensure the transaction could be completed “at reasonable cost to the sponsor”.
Tiziana Perrella, a professional trustee at Dalriada Trustees with risk transfer expertise was appointed to both schemes, and Osborne Clarke was added as legal adviser. Broadstone was lead deal adviser, as well as being the schemes’ actuary, administrator and consultant.
Trustee chair Richard Faulkner said: “Once the sponsor indicated their desire to complete a buy-in, I was keen that we moved quickly and assembled a collaborative team to work efficiently to transaction. I was confident Broadstone would deliver given our longstanding relationship, and the addition of Tiziana and Osborne Clarke really added confidence to the trustee boards in completing this transaction.”
Christopher Rice, deal lead at Broadstone, said while all derisking transactions require close collaboration, “in this case it was particularly necessary given the requirement to resolve complex legacy benefits as well as delivering an affordable transaction for the sponsor”.
Just’s deal manager Alma Goyanes-Payne, added: “Working closely with the Trustees, we were able to move quickly to ensure the best possible outcome for all members.”
The trustees for the schemes that are sponsored by accountancy firm BDO chose to insure liabilities with Just Group.
Advisers Broadstone said significant work was done to address “some complex benefit specification requirements given the acquisitive nature of the sponsor” which meant that each scheme had several categories of benefits from previous mergers.
For the past 12 months, a joint working group sought to ensure the transaction could be completed “at reasonable cost to the sponsor”.
Tiziana Perrella, a professional trustee at Dalriada Trustees with risk transfer expertise was appointed to both schemes, and Osborne Clarke was added as legal adviser. Broadstone was lead deal adviser, as well as being the schemes’ actuary, administrator and consultant.
Trustee chair Richard Faulkner said: “Once the sponsor indicated their desire to complete a buy-in, I was keen that we moved quickly and assembled a collaborative team to work efficiently to transaction. I was confident Broadstone would deliver given our longstanding relationship, and the addition of Tiziana and Osborne Clarke really added confidence to the trustee boards in completing this transaction.”
Christopher Rice, deal lead at Broadstone, said while all derisking transactions require close collaboration, “in this case it was particularly necessary given the requirement to resolve complex legacy benefits as well as delivering an affordable transaction for the sponsor”.
Just’s deal manager Alma Goyanes-Payne, added: “Working closely with the Trustees, we were able to move quickly to ensure the best possible outcome for all members.”
