XPS Pensions Group has announced the sale of its XPS Pensions (Nexus) unit to SEI Master Trust for a cash amount of up to £42.5 million. The net proceeds from the sale will be used to repay debt.
Sale Details
XPS Pensions (Nexus) serves as the principal employer and scheme funder of the National Pensions Trust. The total cash consideration payable for the acquisition will consist of an initial payment of £35 million and a deferred earn-out consideration of up to £7.5 million. The earn-out consideration will be based on the business performance over a period of two years. Regulatory approval is required to complete the transaction.
Strategic Partnership with SEI
This deal establishes a strategic partnership between XPS and SEI. As part of this partnership, XPS will continue to provide pensions administration and consultancy services to SEI. This ensures a seamless continuity of service for members and clients.
Strong Performance
XPS remains on a solid growth trajectory, with a robust performance in the new financial year. The company continues to experience strong demand for its services and maintains confidence in its financial performance.
At 0705 GMT, shares were trading flat at 185 pence.