Media company EMAP has completed a £100m buyout of its defined contribution scheme, in one of the largest transactions of its type.

Mercer assisted with the deal, and said in a statement that the members of the scheme were provided with a number of different options depending on their membership status and level of benefits.

Options offered to the more than 6,000 scheme members included the opportunity to take benefits as a lump sum, or transferring to the new group personal pension scheme or a provider of their choice.

Mercer said that around 3,500 members, with assets of around £100m, had their benefits transferred to the buyout plan with Standard Life. The remaining members opted for cash sums or their own choice of provider.

Although buyouts have traditionally been carried out by defined benefit plans, Mercer said employers are increasingly looking at buyout as a means to reduce their DC administration costs.

Mercer principal and project manager for the buyout transaction Akash Rooprai said companies that have undergone a restructuring are often left with a DC pension scheme with a smaller number of members.

“Often, it’s not cost effective for them to administer the scheme in-house so it makes sense to pass the administrative elements to a specialist provider that has economies of scale. Essentially, this is a transfer of assets or funds, but there are implications so effective management of the process is essential.”

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