MELBOURNE, Australia--(BUSINESS WIRE)--Global consulting leader Mercer, a wholly owned subsidiary of Marsh & McLennan Companies, has acquired Pillar Administration (Pillar), establishing itself as one of the largest outsourced superannuation providers in Australia.
Pillar is one of Australia’s leading superannuation administration providers with more than $100 billion in funds under administration across 1.1 million member accounts. In May this year, the New South Wales government passed legislation paving the way for Pillar to be privatised in order to secure the administrator’s long-term future.
The decision to appoint Mercer follows an extensive competitive process, resulting in the creation of an outsourcing provider offering competitive, differentiated and high quality administration and related services to the public sector, industry and corporate superannuation funds.
Martine Ferland, Mercer’s EuroPac President, said Mercer had presented a compelling bid that reaffirms Mercer’s global commitment to growing our superannuation outsourcing business in Australia. “It’s an area we are investing in because we are committed to continuing to deliver excellent service and innovation, at scale, to our clients right across the superannuation service chain. We also want to provide our people with new opportunities and a great place to work.”
Ben Walsh, Mercer’s Managing Director & Pacific Market Leader, agreed by saying “the acquisition is on point for our strategy. We will add further value to our clients and to members through the investments we are making in our business and through strategic partnerships, alliances and acquisitions such as this one.”
“Specifically, we know many super funds are seeking a proactive and sustainable business partner who can provide superior administration and related services, reduce costs and help funds get closer to members. For this reason we have invested heavily in our people capability, process innovation and technologies to ensure we are ready for these opportunities. This deal provides Mercer with the capability and scale to enhance our clients’ relationships with their members."
Mr Walsh expressed the high regard in which he held Pillar’s people, values and client base as well as their experience in administering large, complex superannuation funds and strong position within the Illawarra region, he said.
As well as being a super fund administrator, Mercer is one of Australia’s largest actuarial and investment consulting companies and operates the $20 billion Mercer Super Trust, offering Pillar’s people opportunities for professional growth and development and its customers Mercer’s world-leading financial wellness tools.
Mercer and its leadership team have a strong track record of successful acquisitions including Cullen Egan Dell, Sedgwick and Mellon, with a commitment to focusing on people and culture during and post the acquisition process.
Mercer is a global consulting leader in talent, health, retirement and investments. Mercer helps clients around the world advance the health, wealth and careers of their most vital asset – their people. Mercer’s more than 20,000 employees are based in 43 countries and the firm operates in over 140 countries. Mercer is a wholly owned subsidiary of Marsh & McLennan Companies (NYSE: MMC), a global professional services firm offering clients advice and solutions in the areas of risk, strategy and people. With annual revenue of $13 billion and 60,000 colleagues worldwide, Marsh & McLennan Companies is also the parent company of Marsh, a leader in insurance broking and risk management; Guy Carpenter, a leader in providing risk and reinsurance intermediary services; and Oliver Wyman, a leader in management consulting. For more information, visit www.mercer.com. Follow Mercer on Twitter @Mercer.