3i Group Pension Plan, London, has completed a £95 million ($124 million) buy-in with Legal & General Assurance Society Ltd., a 3i Group spokeswoman confirmed in an email.
The deal, which closed in February, covers 20% of retiree liabilities of the £975 million defined benefit plan and is the plan's second buy-in. The plan completed a £200 million buy-in with Pension Insurance Corp. in 2017.
"The Plan has been derisking for a number of years, primarily moving our asset mix to favor bonds, as well as completing an initial pensioner buy-in with PIC," Carol Woodley, chairman of trustees, said in a Legal & General news release. "We are very pleased to have been able to complete a second buy-in, which is a positive step towards further improving the long-term financial security of members' benefits in the Plan. It also allows us to build good working relationships with two different insurers."
Lane Clark & Peacock and Linklaters advised the plan's trustees on the transaction.