Global law firm K&L Gates LLP advised Milliman, Inc., an actuarial and consulting firm serving the insurance, financial services, healthcare, life sciences, and employee benefits sectors, on the sale of its retirement administration business to Empower for US$340 million. Empower is a financial services company focused on retirement services and wealth management.
Following the deal's closing, Milliman has retained its retirement and healthcare actuarial consulting business and enters a strategic relationship with Empower for actuarial services and defined benefit plan administration.
The acquisition adds Milliman's retirement administration capabilities to Empower's existing workplace solutions platform. Empower has acquired approximately 400 defined benefit plans representing approximately 790,000 participants and approximately US$80 billion in assets under administration, more than 1,100 defined contribution plans representing approximately 750,000 participants and more than US$50 billion in client assets, and 100 health and welfare administration clients with approximately 100,000 plan participants.
The K&L Gates team was led by Seattle partner Adam Heyd and included Seattle associates Cate Gelband and Devin Woodson, who supported the day-to-day corporate matters related to the transaction. Additional support was provided by Seattle partner Rob Starin, who advised on tax matters. Washington, DC partners Vishal Mehta and Derek Kelley, Chicago counsel John Susoreny, Seattle associate Henry Brockway, and Washington, DC associate Carol Kim handled regulatory matters related to Hart-Scott-Rodino. Washington, DC partner Guillermo Christensen advised on issues regarding compliance with the Committee on Foreign Investment in the United States. Seattle partner Chuck Royce offered insighted on real estate matters. Seattle partner Catherine Smith provided counsel on employment matters. Seattle partner Karrie Diaz, San Francisco partner Rikki Sapolich-Krol, and Seattle associate Rachel Morowitz advised on employee benefits matters. Seattle partners Mark Wittow and Jake Bernstein along with Seattle associate Meriem Debbih counseled on intellectual property and privacy matters. Charleston partner Jennifer Thiem handled matters related to representations and warranties insurance.
“We were pleased to advise Milliman on this significant transaction and to support the company in the sale of its retirement administration business to Empower,” said Heyd. “Our team worked closely with Milliman throughout the deal, including on the structuring, negotiation, and execution of the definitive agreements, as well as related regulatory and closing matters, and we are proud to have helped advance a transaction that positions both organizations to continue serving retirement plan clients at scale.”