The Repsol Sinopec defined benefit (DB) pension scheme has completed a £160m full buy-in with Rothesay.

The move secures the pension benefits for 141 pensioners and 306 deferred members of the gas and oil company’s pension fund.

Rothesay said the transaction was carried out under “an accelerated process” in order to allow the scheme to achieve a favourable price by crystalising funding level improvements that it experienced in the first half of 2022.

Hymans Robertson was the lead broker of the deal, while legal advice was provided by Eversheds and Addleshaw Goddard to professional trustee firm Vidett, which governs the Repsol Sinopec fund. Isio also provided investment advice.

“The scheme has been through quite a journey over the last 12 months,” commented Vidett trustee director James Chalk. “With the help of our advisors, we acted quickly to lock-in funding level improvements seen in the first half of 2022 and position the scheme to secure a great outcome in an increasingly busy insurance market.”

Rothesay business development lead, Róisín O’Shea, explained that the deal also had to be carried out swiftly as the current bulk annuity market is awash with schemes pursuing insurance solutions.

“The effort and willingness shown by both Vidett and Repsol Sinopec along with the teams at Rothesay, Addleshaw Goddard, Isio and Hymans Robertson to transact quickly allowed the scheme to secure the policy while market conditions offered it attractive pricing,” added Hymans Robertson risk transfer specialist, Iain Church.

“In particular, the expert team at Vidett and the sole-trustee structure were particularly powerful to enable the trustee to move nimbly throughout the project and get high insurer engagement in a busy market.”


This article first appeared on our sister title, Pensions Age.

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