MW Pension’s sister operation in the Isle of Man, SIPP Specialists Ltd, will also be acquired as part of the deal.
Regulatory approval for the acquisitions has already been obtained from the Financial Conduct Authority (FCA) in the UK and from the Financial Services Authority (FSA) in the Isle of Man.
Gerry Kelly, finance and operational officer for the Sovereign Group, said: “With over 10,000 existing Qrops members, adding a Sipp operation in the UK makes sense for our Group.
“While most UK non-residents say they won’t return to the UK, the reality is that many do. Sovereign can therefore be a one-stop-shop for their retirement planning needs.
Sovereign said the free transfers offered within its range of Qrops products will immediately be extended to its Sipp offering as a result of the deal.
Kelly said Sovereign’s retirement planning division now accounts for almost 25% of group turnover and plans were in place to expand the range of retirement products and services, as well as its jurisdictional capability, over the next two years.
MWP name to go
MW Pensions (MWP) was formed in 2003 and provides a range of Sipp and Small Self Administered Scheme (SSAS) products.
Under the terms of the deal it will change its name to Sovereign while continuing to service its existing client and introducer base from its offices in the North West of England.
Chris Williams, chief executive of MWP, said: “We are delighted to be acquired by Sovereign, which is recognised as a leading provider of pensions in the international market.
“The acquisition also ensures security for our dedicated and long serving workforce who are very much looking forward to being part of a large financial services group.”
Williams along with pensions administrator Marion Forshaw will remain with MWP and oversee the integration with Sovereign, while Richard Chandler, who is part of the Sovereign pensions technical team, will have operational responsibility for the acquired business.