Updated
Updated · PLANSPONSOR · Jul 1
Empower Buys Milliman Retirement Administration Business for $340 Million, Adding $130 Billion in Assets
Updated
Updated · PLANSPONSOR · Jul 1

Empower Buys Milliman Retirement Administration Business for $340 Million, Adding $130 Billion in Assets

3 articles · Updated · PLANSPONSOR · Jul 1

Summary

  • $340 million will bring Milliman’s retirement administration business into Empower in the second half of 2026, pending regulatory approvals and other closing conditions.
  • The deal adds about 1.5 million participants, roughly 1,500 retirement plans and about $130 billion in assets and administration balances, including 400 defined benefit plans and more than 1,100 defined contribution plans.
  • More than 800 Milliman employees will move to Empower, and about 100 health and welfare administration clients with 100,000 participants will also join.
  • Empower said the acquisition strengthens its defined benefit capabilities, while Milliman will keep its retirement and healthcare actuarial consulting operations and sharpen its focus on consulting, data analytics and AI.
  • After closing, the companies also expect a strategic partnership on actuarial services and defined benefit administration, extending Empower’s expansion after its 2024 integration of Prudential’s retirement business.

Insights

As Empower becomes a $2 trillion behemoth, can it absorb this new business without sacrificing its record-high profit margins?
After a 215% stock run, is this $340M acquisition a brilliant move or a dangerously timed bet at the market peak?