Aon and WTW Run Toward Combination, Sells off Aon US Retirement Business and Aon Retiree Health Exchange

Posted on 06/03/2021

Aon plc (ticker: AON) agreed to sell its U.S. retirement business to New York-based Aquiline Capital Partners and its Aon Retiree Health Exchange business to Alight for total gross consideration of US$ 1.4 billion. Aon embarked on the divestments to address certain questions raised by the U.S. Department of Justice (DOJ) in relation to the combination with respect to the markets in which these businesses are active. The agreement with Aquiline does not include Aon’s non-U.S. actuarial, non-U.S. pension administration or international retirement businesses based outside of the U.S.

The U.S. retirement business Aquiline will acquire includes approximately 1,000 colleagues and the agreement includes U.S. core retirement consulting, U.S. pension administration and the U.S.-based portion of Aon’s international retirement consulting business, along with many solutions and tools, including:

Benefit Index and SpecSelect
Risk Analyzer
DBCalc and YPR
Aon Pooled Employer Plan (PEP)

Aon and Willis Towers Watson Public Limited Company are working to get regulatory approval in all relevant jurisdictions. Aon and Willis Towers Watson are working toward completing the proposed combination as soon as possible in the third quarter of 2021.

Aon and Willis Towers Watson have previously announced the divestiture of Willis Re and a set of Willis Towers Watson corporate risk and broking and health and benefits services to Arthur J. Gallagher & Co. These businesses will be divested for a total consideration of US$ 3.57 billion.

Aon’s retirement and investment business in Germany was also sold off.

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