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OneAmerica Financial Inc. of Indianapolis – the city’s largest privately held company – has agreed to sell its full-service retirement plan business to Voya Financial Inc. based in New York, the companies announced Wednesday.
Under the terms of the deal, which is expected to close on January 1, Voya will pay $50 million up front, plus up to an additional $160 million in the second quarter of 2026, depending on the performance of certain metrics.
OneAmerica’s retirement plan business has approximately $47 billion in assets under administration through a variety of retirement plans, including 401(k), 403(b) and 457 plans, nonqualified deferred compensation plans and stock ownership plans. employees.
OneAmerica, which has more than 2,500 employees overall, declined to say how many of those employees work in the retirement plan unit. Voya declined to say whether the acquisition would have an impact on hiring in Indianapolis.
Industry sources said the number of employees at the unit is substantial, running into the hundreds.
Voya spokeswoman Laura Maulucci said “a vast majority” of OneAmerica’s full-service retirement plan employees will become Voya employees when the transaction closes.
“The full-service retirement plan business employees joining Voya will be part of Voya’s hybrid work model, which allows for a flexible work environment while maintaining a strong culture and connection between colleagues,” Maulucci said via email.
But she did not provide specifics to an IBJ question about potential job cuts.
“As Voya has done with past transactions, Voya will improve its organizational structure as needed in the future to efficiently run the business, develop the company’s talented people and advance the company’s workplace strategy. Voya.”
Voya said it plans to provide more details about the transaction during its third-quarter earnings call. The company has not yet set a date for that call, Maulucci said.
“We see this as a great opportunity for our customers and OneAmerica Financial associates to continue to grow with Voya while we focus on our remaining core product lines where we see tremendous growth potential,” said the chairman. and OneAmerica CEO Scott Davison in a written statement.
OneAmerica’s other product lines include life insurance, annuities, asset-based long-term care products and employee benefits.
OneAmerica tops IBJ’s list of Indianapolis’ largest private companies by revenue, with 2023 revenue of $3.8 billion. The company is also the second largest private company in Indiana, behind Do it Best Corp. based in Fort Wayne, IBJ research shows.
After the acquisition, Voya will have $580 billion in assets under management.
Voya has approximately 9,000 employees located across the US and in India. The company operated as a wholly owned subsidiary of Netherlands-based ING Groep NV until May 2013 when Voya became a publicly traded company.
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