• 1,281 members of the Arco Group Pension and Life Assurance Scheme set to transfer to Clara, with around £135m of assets
• In another first for Clara, this agreement forms part of a wider corporate transaction involving Arco Limited, demonstrating the role superfunds can play in supporting M&A
• The transaction follows Clara’s most recent announcement of its sixth transaction and its second small scheme, adding to a growing pipeline of completed and forthcoming deals 

29 September 2026, LONDON: Clara Pensions (“Clara”), the member-first consolidator for defined benefit pension schemes, has reached agreement with the sponsor and trustee of the Arco Group Pension and Life Assurance Scheme (“the Scheme”) to transfer its members and assets to the Clara Pension Trust, as part of a process supporting the sale of Arco Limited.

The transaction will see 1,281 members and approximately £135m of assets transfer to Clara, where members will benefit from additional ringfenced capital and greater security in the longer term. The agreement has been reached alongside Arco Limited’s wider sale process, providing greater certainty over the future of the pension scheme and its members as that transaction completes.

The nature of the transaction is another first for Clara, demonstrating the important role that superfunds can play during periods of corporate change. Pension schemes can represent a significant consideration in M&A processes, particularly where trustees, sponsors and prospective owners all need speedy certainty over the long-term treatment of members’ benefits. Clara provides a swift and efficient option to address those considerations while keeping improved member security at the centre of the outcome.

Matt Wilmington, Chief Transactions Officer at Clara Pensions, said:

“This transaction is a strong example of the role Clara can play when pension and corporate considerations need to be addressed together. The priority remains securing a better outcome for members, but doing so can also provide greater certainty for businesses as they pursue important strategic transactions.  We were particularly pleased to be able to work with the Scheme and its advisers in an accelerated timeline to meet the demands of the sale process.

Coming so soon after our announcement earlier in the month, it also reflects the growing range of circumstances in which trustees and sponsors are considering Clara as part of their endgame planning.”

Dan Carr, Chief Financial Officer at Arco Limited, said:

“The security of our pension scheme members was a key consideration throughout the wider sale of the business, and Clara was identified early on by KPMG as being able to provide the necessary comfort to members within the context of a corporate transaction. And key to making everything happen, was the high level of collaboration between our business, the Trustee, a great team of advisers and Clara.”

Jo Harris, Senior Trustee Director at Dalriada, said:

“Our role and fundamental aim is protecting the long-term interests of our members and we have carefully considered the options available to the Scheme to achieve this.  The sale of the business presented a unique opportunity to improve the security of members’ benefits overnight, whilst aligning with employer and shareholder objectives, and Clara’s innovative superfund was the perfect model through which to achieve this.

Reaching this agreement alongside the wider corporate transaction required a highly dynamic team effort between the Trustee, the Sponsor, Clara and advisers. We are delighted to have secured an outcome which puts members on a stronger footing for the future, and wish the Arco team well under new ownership.”

Iain Brown, Partner at KPMG, said:

“Any corporate transaction presents a number of challenges and complexities, but doing one in parallel with a transfer to Clara required significant intensity and dedication from all parties. Every adviser performed at an exceptional level, providing Arco and the Trustee with speedy and comprehensive advice, and it was a pleasure for the KPMG team to provide leadership and coordination. I should also say that Clara was fantastic, and showed a real desire to do the transaction, providing support, flexibility and sometimes necessary challenge, along the way.”

The Trustee was advised by XPS as actuaries and investment consultant, Pinsent Masons as pension lawyer and EY as covenant adviser. Arco Limited was advised by KPMG as actuaries and strategic adviser, Squire Patton Boggs as pension lawyer and PWC as covenant adviser. Clara was advised by CMS Cameron Mckenna Nabarro Olswang.  The Clara Trustee was advised by Eversheds Sutherland.

Media contacts

Clara-Pensions: [email protected]

About Clara-Pensions

Clara Pensions (“Clara”) is the UK’s [first and only operational] defined benefit superfund, offering a secure, member-first solution for schemes on their journey to insured buyout.

Clara enables pension schemes to move to a stronger financial footing by combining its own capital with that of sponsors, robust governance and the benefits of scale, with the aim of delivering full benefits to members with greater certainty.

Since completing The Pensions Regulator’s assessment process in 2021, Clara has completed seven superfund transactions covering more than 24,000 members and over £1.6bn in assets under management.

With a growing pipeline of schemes and increasing interest from both trustees and sponsors, Clara continues to demonstrate the role consolidation can play in improving member outcomes and supporting the long-term sustainability of defined benefit pensions.

Clara is backed by global investment firm Sixth Street and supported by a range of leading partners across legal, actuarial, investment and fiduciary disciplines.