Suffolk Life has bought self-invested personal pension (SIPP) provider European Pensions Management (EPM) which went into administration in June.
EPM, established in 2001, went into the special administration regime insolvency proceedings on 21 June this year.
Suffolk Life, itself acquired by rival Curtis Banks Group in January, has bought EPM’s book of business totalling 5,000 SIPPs with a value of about £630m.
The deal comes as the deadline for SIPP provider’s to comply with strict capital adequacy rules approaches. The rules, which could prompt more consolidation in the SIPP market, are due to come into force in September.
Suffolk Life managing director Will Self said: “This acquisition, coming shortly after Suffolk Life joined the Curtis Banks Group, delivers a statement of the group’s commitment to grow our position in the independent SIPP market, and demonstrates our capability to support advisers and investors in sections of the market that many other SIPP operators have retreated from.”
Self added Suffolk Life “remained comfortably capitalised following the acquisition”.
Suffolk Life now runs more than 30,000 SIPPs with assets under administration approaching £10bn.
The Financial Conduct Authority confirmed the insolvency in June.
It said: “Having reached an assessment that it was no longer solvent, EPM made an application to the court to formally initiate insolvency proceedings under the special administration regime.”
EPML has about 6,000 customers, according to the FCA.
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