Trade Resources Industry Views Pension Corp Has Raised Nearly ?300m by Disposing Schemes to Reinsurer Munich Re

Pension Corp Has Raised Nearly ?300m by Disposing Schemes to Reinsurer Munich Re

UK based Pension Corporation, the specialist insurer which manages pension schemes’ risks, has raised nearly £300m by disposing some of its pension schemes to reinsurer Munich Re.

The Munich Re arrangement has been initiated after the specialist insurer inked an agreement with the Luxembourg investment fund Reinet, a £400m capital injection in return for a 40% stake.

The company said that other investors in Pension Corporation include JC Flowers, Swiss Re, Lloyds Banking Group and Royal Bank of Scotland, as reported by the Financial Times.

Pension Corporation finance director Rob Sewell was quoted by the news agency as saying that a flotation of Pension Corporation was "certainly an option" although adding that currently the firm had no such plans.

Due to the rising market uncertainty, several banks have decided to pull back from taking longevity risks associated with pension schemes' in recent months.

Source: http://reinsurance.insurance-business-review.com/news/pension-corp-raises-300m-in-munich-re-deal-300712
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Pension Corp raises £300m in Munich Re deal
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