Marelli UK has agreed to transfer six pension schemes covering over 3,300 members and with a combined value of approximately £250m to Clara-Pensions, the defined benefit (DB) superfund.

The six schemes, which vary in size from approximately £1m to £125m, will transfer under a single master agreement into one section of the Clara Pension Trust.

Clara said the structure will enable the schemes to enter the superfund as a collective, including three smaller schemes that may not have been able to do so on a standalone basis.

Commenting on the agreement, Clara Pensions chief transactions officer, Matt Wilmington, said: “Bringing together the six schemes has enabled the members to benefit from both the additional security provided by the Clara solution and significant economies of scale.

“Scale is a major part of what makes this possible. Half of these schemes would be too small to access a superfund, but by bringing them together we can provide all members with access to the same enhanced security and clear journey towards insured buyout."

The agreement was reached alongside international restructuring involving the sponsor and enabled it to address legacy pension obligations through a single transaction.

Marelli UK legal and compliance manager, Karen Myring, said the pension schemes “represented an important consideration” as the firm progressed with its wider corporate plans.

She added: “Reaching agreement with Clara provides greater certainty for members while allowing all six schemes to be addressed through a single transaction.”

Describing the transfer as a “first-of-its-kind”, LCP partner and lead risk transfer adviser to the trustee, Sam Jenkins, added that it shows what can be achieved when all parties work together to navigate a complex transaction.

Backed by the investment firm Sixth Street, Clara will provide additional capital to support members' benefits, and the schemes will move towards an insurance buyout following the transfer.

Zedra was the trustee to the schemes. Burges Salmon, BDO, Sackers, Squire Patton Boggs, LCP, Cameron McKenna Nabarro Olswang, Eversheds Sutherland and Hymans Robertson advised on the transaction.

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