Great-West Lifeco, the Winnipeg-based insurance and financial services holding company, announced Tuesday that it is purchasing Milliman's retirement plan and benefits administration business. The deal, valued at an undisclosed amount, is expected to close in the third quarter of 2026, subject to regulatory approvals.
Acquisition Details
The transaction includes Milliman's defined contribution and defined benefit plan administration, as well as its health and welfare benefits administration services. Great-West Lifeco said the acquisition will strengthen its retirement services division, particularly in the United States, where it already operates through its subsidiary Empower Retirement.
Milliman, a global consulting and actuarial firm based in Seattle, has been a major player in the benefits administration space. The sale allows Milliman to focus on its core consulting and actuarial businesses, according to a company spokesperson.
Strategic Impact
Great-West Lifeco CEO Paul Mahon said in a statement: "This acquisition aligns with our strategy to expand our retirement and benefits capabilities. Milliman's expertise and technology will enhance our ability to serve plan sponsors and participants."
Financial terms were not disclosed, but analysts estimate the deal could be worth several hundred million dollars. The acquisition is expected to add approximately 1,000 employees to Great-West Lifeco's workforce, primarily in the U.S.
Market Reaction
Shares of Great-West Lifeco rose 1.2% on the Toronto Stock Exchange following the announcement. The company reported $2.4 trillion in assets under administration as of March 31, 2026.
The deal comes as the retirement plan administration industry consolidates, with firms seeking economies of scale to compete with large providers like Fidelity and Vanguard. Great-West Lifeco's Empower Retirement already serves over 18 million participants.
