Empower Retirement introduced Wednesday that it’ll purchase the retirement arm of Prudential Monetary, the newest deal in a sequence the Greenwood Village firm has strung collectively because it tries to get a leg up on rivals.
Empower Retirement, in a transaction valued at $3.55 billion, will achieve oversight of the greater than 4,300 office financial savings plans with roughly 4 million plan individuals and $314 billion in belongings that Prudential administers, in addition to 1,800 workers.
Following the completion of the acquisition, which is anticipated to shut within the first quarter of 2022, Empower will administer 71,000 office retirement plans with 16.6 million individuals and $1.4 trillion in belongings.
To place that quantity in perspective, direct federal scholar mortgage debt within the U.S. is about $1.3 trillion.
“Empower and Prudential share a dedication to serving the monetary wants of working Individuals, their advisers and employers. This transaction will create a fair stronger service group at Empower, fueled by know-how and the experience of our deep expertise pool,” mentioned Ed Murphy, Empower’s president and CEO, in a information launch.
Final September, Empower Retirement introduced the acquisition of the retirement plan business of Massachusetts Mutual Life Insurance Co. in a deal valued at $3.35 billion. That offered it with 26,000 office financial savings plans with 2.5 million individuals and $167 billion in belongings.
In June 2020, the corporate agreed to acquire Personal Capital, a Bay Space digital wealth administration agency with a major presence in Denver, in a $1 billion deal.
However its highest-profile deal, at the least for Denver Broncos followers, got here in September 2019, when Empower purchased the naming rights to Mile High Stadium in a deal slated to last through 2039.
Empower Retirement, a part of Nice-West Life & Annuity Insurance coverage Firm, was shaped in 2014 by means of a merger of three retirement plan directors with about $400 billion in belongings below their watch. It has grown quickly since and ranks second solely to Constancy Investments when it comes to the worth of the retirement plan belongings that it supervises.