XPS Pensions Group PLC on Wednesday said it bought Penfida Ltd, a corporate finance and covenant advisor to UK pension funds, as it also issued a trading update.

XPS Pensions is a Reading, England-based pensions consulting and administration firm.

XPS Pensions bought Penfida for £11.6 million, which ‘will be combined with the existing XPS covenant team, significantly boosting capability and giving critical mass in this important area.’ Through the acquisition, XPS will be able to offer covenant advisory services to more clients.

‘Penfida clients and staff will benefit from access to the wider capabilities of XPS. The business unit will be led by the current Penfida management team, including Senior Partner Paul Jameson, integrating within the wider XPS group over time,’ the company explained.

Meanwhile, XPS Pensions cited high levels of demands in its trading update. In the first five months of its financial year that started in April, revenue is up 12% compared to a year ago. The firm touted a strong pipeline and continued resilience and predictability.

‘The board are confident of achieving full year results slightly ahead of their previous expectations of the year,’ the company said.

XPS Pensions shares were 4.6% higher at 126.50 pence each in London on Wednesday afternoon.

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