CTL Engineering Pension Scheme, Stockport, England, completed a full buyout with Aviva as part of an acquisition deal in which the pension fund’s sponsoring company, CTL Engineering Ltd., was involved, said a spokeswoman for CTL Engineering.
The trustees of the £12 million ($19.1 million) pension fund were advised by Aon Hewitt.
The pension fund buyout was completed within three months of transacting, which is much quicker than normal, according to a news release from Aon Hewitt. A Typical transaction would take six to 12 months from buyout to completion, said a spokeswoman for Aon Hewitt.
“The scheme trustees set us the objective of completing a pension buyout transaction on the same day that a corporate transaction (the acquisition of CTL Engineering by Howco Group) was taking place,” said John Baines, principal consultant in Aon Hewitt’s risk settlement team, in the news release.
Law firm Eversheds advised pension fund trustees on the legal aspects of the buyout.