Issue 10 2023

Issue 10 2023, Acquisition International | 11 A Pioneering Pensions Partner in the German De-Risking Market ension buyouts work by separating pension liabilities from an existing operating company, and its balance sheet, to instead transfer the risks to a so-called pensioner company. It helps operating companies to curtail typical pension risk, which was often not properly analysed in the 70s, 80s, and 90s. Pension buyouts have a long-standing heritage in the Western world as a risk management concept and well-known British and German companies have used it in the context of their UK-liabilities. German companies are increasingly becoming aware of the advantages associated with such a de-risking solution. As such, VEDRA Pensions has established a key market in Germany and been a key player on the market since 2016. VEDRA’s approach is based on a long-term view on core risks, transparency of decision making, and a strong emphasize on cash-flow principles. VEDRA’s dependability lies at the very heart of its ethos, and serves as the major factor when it comes to customers trusting VEDRA with their pensioners. Its innovative power comes from its careful approach to structuring successful pension buyouts, characterised by an extraordinary degree of adaptability, innovation, and receptiveness to the wishes and needs of its valued clients whilst at the same time minimizing shortfall risks within the pension operations. This is a spirit that’s ever-present in VEDRA’s dedication to aiding clients in the complete de-risking of pensions liabilities, facilitating the reduction of financial and market risks, and providing a release from administrative burdens. Whether it’s through its day-to-day tasks, operations, or vigilant overseeing of its platform partners, it constantly upholds this standard. Finally, transparency is a value that is central to the core of VEDRA’s business, and something it sees it as being the very foundation stone of trust. To ensure transparency, it remains resolute in its commitment to fostering open and honest communication in every interaction it has, with each and every stakeholder. In 2016, VEDRA introduced the concept of pension buyouts to the German market. It has since established itself as the market leader in this segment, with notable milestones that include orchestrating the inaugural acquisition of pension liabilities through the carve-out of a publicly listed enterprise, and pioneering the acquisition of pension liabilities within a private equity M&A framework. It closely collaborates with a meticulously curated team of experts in administration, legal and actuarial services, and asset management to ensure clients and pension beneficiaries are provided with optimal outcomes. It deeply values any opportunity to generate interest in the buyout concept, which still has something of a nascent nature in Germany. Even so, this is an era where many enterprises are becoming aware of the risks posed by their pension obligations, which means that it is an opportune moment for proactive measures to be introduced. VEDRA Pensions can undertake the management and administration of existing and forthcoming pension payments through prudent, long-term capital investments. Its long-standing experience in overseeing liquidity management, strategic asset allocation, and the curation of investment cooperations is extremely beneficial, with its valued clients standing to gain profoundly from its wealth of pertinent knowledge and experience. It also boasts agile structure, streamlining its business framework, and allowing it to initiate action proactively rather than merely responding to circumstances as and when they happen. Its primary objective always remains as being to secure the long-term fulfilment of pension commitments. This, combined with its entrepreneurial spirit, allows the de-risking solutions provided by VEDRA Pensions the capacity to mitigate primary risks and liabilities, and encompass longevity, fluctuations in interest rates, inflation, and notably, asset performance for solutions that yield enduring and direct enhancements to a company’s balance sheet. Company: VEDRA Pensions GmbH Web Address: 4.358 Zeichen Since 2016 VEDRA Pensions has been a trailblazer within the pension buyout de-risking solutions market in Germany. It has recently been announced as the Most Pioneering Pension Buyout Market Specialists 2023 – Germany, in the Acquisition International Global Excellence Awards, in light of which, we took the opportunity to find out a little more about what the company does. P Aug23028