Rolls-Royce Offloads UK Pension Fund to PIC in £4.3 Billion Deal

Rolls-Royce Holdings Plc has sold its UK pension pot to an insurance firm in a £4.3 billion ($5.8 billion) deal, bolstering the engine manufacturer’s efforts to simplify its business.

The deal with Pension Insurance Corporation Plc will cover Rolls-Royce’s entire outstanding liabilities to its workers, comprising the pensions of 36,000 people, the companies said in a statement on Sunday.

The announcement confirms a Bloomberg report on the planned transfer on Friday. The UK manufacturer’s pension liabilities have weighed on its performance over recent years, and the disposal comes as Chief Executive Officer Tufan Erginbilgic seeks to streamline its business as ...