The Pensions Insurance Company (PIC), a specialist insurer of defined benefit pension schemes, has signed a £37.5 million subscription agreement with the iconic British footwear brand Dr. Martens Airwair Group Pension Plan, founded in Northamptonshire, covering 455 plan members.
Paul Black of Pi Partnership, Chairman of the Board of Trustees of the Dr. Martens Airwair Group Pension Scheme, commented: “Enhancing the security of members’ benefits through this transaction with PIC is a proud moment for us.
“The team has demonstrated throughout this process how its long record of excellent customer service and commitment to sustainability will support our members in the long term. Because of this, we know our members are safe.
“The Trustees and Dr. Martens worked collaboratively throughout the process to ensure their goals were achieved in a timely manner. I would also like to thank the consultants at Barnett Waddingham, XPS, Baker McKenzie and Schroders Solutions for their role in helping us achieve this outcome.”
Dr. Martens operates in more than 60 countries and has approximately 3,700 employees selling boots, shoes, sandals and bags.
Matt Richards, PIC’s head of original structures, said: “It has been a pleasure working with the trustees and their advisers. Closing a deal involving such a globally recognized brand is a highlight for me at the end of the year and a brand I am personally proud to wear.”
“Dr. Martens’ legacy is impressive. Its commitment to creating durable, world-class products for its customers truly embodies PIC’s core values.
“Our client-centric approach and dedication to ensuring the long-term security of current and future policyholders fully meets and exceeds the trustees’ objectives for the scheme. We look forward to onboarding scheme members soon.”
Olivia Westwood, risk transfer actuary at Barnett Waddingham, added: “We are delighted to have led this transaction on behalf of the trustees, securing member benefits less than a year after our appointment.
“An important feature of this deal is dealing with the unique benefits of the scheme, simplifying the complexity as much as possible and then selecting an insurance company that can provide the flexibility required.
“It was a result of the close collaboration between the trustees, Dr Martens and all consultants during the planning stages and ultimately with the PIC to achieve this fantastic outcome for members.”
The PIC was advised by HSF, with the trustees working alongside Barnett Waddingham as risk transfer adviser, Baker McKenzie as legal representative, XPS as scheme actuary and administrator and Schroders Solutions as trust manager.