CTL Engineering has completed an insurance buyout of its defined benefit (DB) pension scheme.
The consulting engineering, testing, inspection and analytical services organisation’s scheme has 115 members and assets of £12 million.
Aviva was appointed to wind up the scheme within three months of transacting.
Aon Hewitt advised on the buyout and Eversheds advised on the legal aspects of the deal.
Ian Booth, chair of trustees for the scheme, said: “Moving to buyout as quickly as possible was essential for the trustees, but we wanted to make certain that the procedure was as straightforward and transparent as possible.
“Aon Hewitt has made the process clear for us and gave us comfort by providing thorough due diligence, while working alongside Aviva to develop a solution which gave certainty for both the sponsor and for the financial security of our scheme members.”
John Baines, principal consultant at Aon Hewitt, added: “The scheme trustees set us the objective of completing a pension buyout transaction on the same day that a corporate transaction was taking place.
“This meant that the scheme trustees needed to transact quickly and to ensure that there would be no financial risk remaining after the assets were handed over. We developed a number of innovative solutions with Aviva to manage this within the constraints of the assets held.”