A looming recapitalisation deadline has triggered the first major consolidation in Nigeria’s pension industry, with two of the country’s largest fund administrators, Premium Pension and Trustfund Pensions, agreeing to merge.
The proposed merger, which is subject to regulatory approvals, has kick-started what industry operators expect to be a wave of aggressive consolidations. Pension firms across the country are now racing against the clock to meet the National Pension Commission’s (PenCom) strict capital requirements ahead of the June 2027 stipulated timeframe.
Under the transaction, the combined business will operate as Premium Trustfund Pensions Limited, creating what is projected to become Nigeria’s third-largest pension fund administrator by assets under management.
Premium Pension currently manages N1.8 trillion in assets under management for more than 860,000 clients, while Trustfund Pensions oversees over N1.23 trillion in pension assets. Together, the proposed merging entity would manage nearly N3.08 trillion in pension assets, making it one of Nigeria’s largest PFAs after the likes of StanbicIBTC Pensions Managers Limited ( N6.82 trillion AUM) and AccessARM Pensions Limited (N4 trillion AUM).
