International Financial Group Ltd (IFGL) is set to acquire the international Sipp and Ssas administration business of Sovereign Group, subject to regulatory approvals.
Sovereign Pension Services (SPS) is based in Bromborough, Wirral. Established in 2003 as MW Pensions, it was acquired by Sovereign Group in 2016 and rebranded.
Financial details were not disclosed.
The announcement comes six months after it was revealed that private equity firm Cinven was to success Vitruvian Partners as the majority investor in IFGL. At the time, IFGL chief executive David Kneeshaw (pictured) said the change would “accelerate the group’s ambitious plans for growth”.
Kneeshaw said SPS “is a strategic acquisition which will allow IFGL to provide a wider range of services and value to customers and advisers”.
“There’s a gap in the market for a service-led and cost effective Sipp proposition, and we were attracted to SPS specifically because of their strong reputation among advisers.”
Sovereign Group chief executive Gerry Kelly described Sipps as “an integral part of the success of Sovereign’s pension offering”.
“On meeting with IFGL, it became clear that it was the right partner to develop this segment further, allowing Sovereign to focus on building the corporate and trust side of its business in the UK.
“This acquisition also provides new opportunities for our [45-strong] dedicated workforce in the Wirral, who are very much looking forward to being part of the IFGL family.”