RCS - Mpac Group PLC - Pension Scheme Valuation Update

MPACAnnouncement

25/02/2025 07:00

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RNS Number : 2726Y  Mpac Group PLC  25 February 2025

25 February 2025

 

 

 

Mpac Group plc

(''Mpac'', "Company" or "Group")

 

Pension scheme valuation update

 

Mpac Group plc, a global leader in high-speed packaging and automation
solutions, is pleased to announce that it has concluded negotiations with the
Trustee of the legacy 'Molins U.K. Pension Fund' (the "Trustee") in relation
to the IAS 19 triennial actuarial valuation and associated schedule of
contributions, undertaken on 30 June 2024.

The result of the 30 June 2024 valuation concluded with the prior actuarial
deficit from June 2021 of £28.4m being updated to an actuarial surplus of
£21.1m on a technical provisions basis, representing a funding level of
107.8%.

The agreed schedule of contributions to the scheme continues, with the
contributions being directed to an escrow arrangement from January 2025.  All
contributions cease should the funding level reach 110%, based upon an annual
funding test.  The escrow arrangement minimises the risk that the scheme
becomes overfunded.

The Trustee and the Group are investigating options for the transfer of the
scheme to a third party and will provide updates as appropriate.

Will Wilkins, Chief Financial Officer, commented:

 

"I am pleased to report that the recovery plan for the scheme, which has
delivered almost £50m of funding improvement in three years, has eliminated
the pension deficit and provided the basis for the Trustee and the Group to
begin the assessment for the transfer of the scheme to a third party.  There
remains a significant amount of work to be done to ensure the best outcome for
both scheme members and the Group, but there are reasons to be confident that,
with continued sound governance, management of the scheme and cooperation
between the Trustee and the Company, we will meet our long-term objective of
decoupling the scheme from the Company.''

 

 

For further information, please contact:

 Mpac Group plc                                  Tel: +44(0)24 7642 1100

 Adam Holland, Chief Executive

 Will Wilkins, Chief Financial Officer
 Shore Capital (Nominated Adviser & Broker)      Tel: +44(0)20 7408 4050

 Advisory

 Patrick Castle

 Sophie Collins

 Broking

 Henry Willcocks

 Panmure Liberum (Joint Broker)                  Tel: +44 (0) 20 3100 2000

 Edward Mansfield

 Will King

 Freddie Wooding

 Hudson Sandler                                  Tel: +44 (0) 20 7796 4133

 Nick Lyon

 Nick Moore

 Francesca Rosser

 

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