📋 Tender Overview
Morneau Shepell a leader in pension risk management in Canada advised Iron Ore Company of Canada IOC a majority owned subsidiary of Rio Tinto in its capacity as Plan administrator of its pension plan on the execution of a buy-in group annuity purchase with Sun Life. The deal valued at more than CAD 560 million covers more than 3700 retirees and beneficiaries helps reduce risks associated with the pension plan and secures the plans strong financial position. Sun Life was awarded the buy-in group annuity contract following a thorough due diligence process. This transaction represents the largest same-day transaction in the Canadian market to be placed with a single insurer. There will be no change for members who will continue to be paid from the plan as before the transaction. Morneau Shepell worked closely with IOC on the development of the de-risking plan aimed at producing a favorable outcome for all plan members and the plan sponsor. Our unique bid process produced a great outcome for IOC and Sun Life says Benot Labrosse vice president Morneau Shepell Asset Risk Management. Our process ensures that insurers can deploy significant resources on an opportunity with the confidence that the Plan administrator will transact.A transaction of this size and scale demonstrates Sun Lifes unique ability to help Canadian employers reduce their pension risk and provide long-term protection for their retirees says Brent Simmons Senior Managing Director Head Defined Benefit Solutions Sun Life. We were thrilled to work with IOC and Morneau Shepell to create such a meaningful and historic transaction. We continue to see these transactions grow in the Canadian market as companies look for better pension risk management solutions so they can focus on their core business.
