The former AREVA Group has completed a buyout with WTW Pensions Holding GmbH for an undisclosed amount, with the latter taking on the German pension obligations of the French state-owned nuclear energy company that ceased operations in 2018.

As part of the transaction, AREVA has fully financed the existing German pension obligations and transferred them to AREVA Pensionärsgesellschaft mbH, whose shares have been acquired in full by WTW Pensions Holding GmbH.

However, AREVA Pensionärsgesellschaft mbH will act as an independent risk carrier for the obligations assumed.

WTW will continue to administer the portfolios and manage the investments, acting as a comprehensive service provider for the former AREVA pension portfolios.

"With this transaction, we are demonstrating that our pension buyout structure is not only conceptually sound, but also proves its strength in practice," WTW head of retirement, Hanne Borst, said.

WTW Pensions Holding GmbH managing director, Dr Johannes Heiniz, added that AREVA has been a WTW client for several years, so this buyout was the ‘logical next step’.

"The complete refinancing of pension benefits and their transfer to AREVA Pensionärsgesellschaft mbH creates clarity, security and stability for all parties involved. This is a significant market transaction that once again impressively demonstrates the relevance of our solution for the German pension buyout market."

Heiniz said the pension beneficiaries benefit from a “stable, long-term solution with full capital backing” as a result of the transaction.

---