British banking group NatWest is reportedly in talks to sell its workplace pensions unit Cushon to US insurance broker WTW, according to reports by Sky News and Reuters citing sources with knowledge of the matter.
Reuters reports that its sources price the deal at over £150 million, although they add that there is no final guarantee that the potential acquisition will be completed. NatWest and WTW both declined to comment when contacted by FinTech Futures.
Founded by Ben Pollard in 2014, Cushion provides workplace pensions, savings, and financial wellbeing tools to over 21,000 employers and manages around £4 billion in assets.
NatWest acquired an 85% stake in the business in June 2023 for £144 million, using the purchase to provide workplace pensions and savings products to its commercial and business banking customers. The remaining 15% stake was retained by Cushion management. Pollard continues to lead the business as CEO, and previously served as a senior consultant to WTW’s professional services subsidiary Tillinghast.
Sky News first reported that NatWest was in advanced negotiations with several potential buyers for Cushon back in September as part of an effort to simplify the group’s operations under CEO Paul Thwaite, who succeeded chief executive Alison Rose in July 2023.
NatWest notably offloaded its 11.7% stake in Irish retail and small business bank Permanent TSB for approximately €126 million in July this year.
Source: https://www.fintechfutures.com/
