Leading publishing house
Global group plans to de-merge
To secure the financial position of two schemes during the de-merger
We helped organise an independent covenant review that stated that the schemes’ employer would be less financially robust after the de-merger. The review did, however, also state that the covenant would not be significantly reduced because the group’s legal obligation to the schemes was uncertain.
Despite this, the group wanted to apply for Clearance. In return for the trustees’ support of their application, we were able to negotiate substantial payments into the schemes and some additional financial support from the wider group for the scheme sponsor.