Great-West Financial to gain approximately 1.9 million participants and
US$167 billion in plan assets via transaction
WINNIPEG, April 3, 2014 /CNW/ - Great-West Lifeco Inc. today announced
that its U.S. subsidiary Great-West Financial® has reached an agreement to acquire the J.P. Morgan Retirement Plan
Services large-market recordkeeping business. Upon completion of the
acquisition, Great-West Financial will become the second-largest
retirement services provider by participants in the U.S. defined
contribution market, with nearly 6.8 million participants and US$387
billion in recordkeeping assets. Terms of the transaction were not
The J.P. Morgan Retirement Plan Services business comprises 200 clients
with approximately 1.9 million participants and US$167 billion in
retirement plan assets. As part of the transaction more than 1,000
staff and management affiliated with J.P. Morgan Retirement Plan
Services will join Great-West Financial.
The transaction is scheduled to close in the third quarter of 2014,
subject to regulatory approval in the U.S.
"This acquisition is consistent with Great-West Lifeco's global business
strategy of developing significant market positions in the sectors
where we participate," said Paul Mahon, President and Chief Executive
Officer of Great-West Lifeco. "It further enhances our position as a
leading retirement plan provider in the United States."
"J.P. Morgan large market clients will transition to the Great-West
Financial platform with their current client service teams intact,
which will be of significant benefit," Mahon said.
As part of this expanded emphasis on U.S. market opportunities,
Great-West Lifeco announced in March that it appointed Robert L.
Reynolds as President and Chief Executive Officer of Great-West Lifeco
U.S. Inc., which owns Great-West Financial and Putnam Investments.
Great-West Lifeco also announced that it will integrate Putnam
Investments' retirement business into that of Great-West Financial.
"Uniting the three retirement businesses under Great-West Financial
further strengthens our ability to provide the U.S. marketplace with a
superior, leading-edge offering across every client segment," Reynolds
While this transaction will not have an immediate material impact on the
financial results, it will increase the competitive position of
For more information, please refer to a presentation on the acquisition
posted on Great-West Lifeco's website at www.greatwestlifeco.com/008/home/eventsandpresentations/index.htm.
About Great-West Financial
Great-West Financial® is a registered mark of Great-West Life & Annuity Insurance Company.
Headquartered in metro Denver, Great-West Financial administers
US$243.5 billion in assets for its 5.4 million retirement, insurance
and annuity customers.
Great-West Financial is the nation's second largest underwriter of life
insurance sold through banks (BISRA Life Report, FourthQuarter 2013, based on total premiums at Dec. 31 2013) and
fourth-largest retirement plan record keeper (Pensions & Investments, March 2014, based on total participant accounts at Sept. 30, 2013). It
is an indirect, wholly owned subsidiary of Great-West Lifeco Inc. and "A Member of the Power Financial Corporation Group of Companies" ®.
Great-West Financial® refers to products and services provided by Great-West Life & Annuity
Insurance Company (GWL&A), Corporate Headquarters: Greenwood Village,
CO, its subsidiaries and affiliates. Recordkeeping information and
rankings reflect all recordkeeping customers of GWL&A subsidiary
FASCore, LLC: those of institutional partners, third-party
administrator clients and Great-West Financial. The trademarks, logos,
and registered marks used are owned by GWL&A.
About Great-West Lifeco
Great-West Lifeco Inc. (TSX:GWO) is an international financial services
holding company with interests in life insurance, health insurance,
retirement and investment services, asset management and reinsurance
businesses. Great-West Lifeco has operations in Canada, the United
States, Europe and Asia through Great-West Life, London Life, Canada
Life, Irish Life, Great-West Financial and Putnam Investments.
Great-West Lifeco and its companies have $758 billion* in consolidated
assets under administration and are members of the Power Financial
Corporation group of companies.
* Assets as of December 31, 2013
SOURCE: Great-West Lifeco Inc.
For further information:
Marlene Klassen, APR
Assistant Vice President, Communication Services