Mercer L.L.C. on Friday said it will sell its U.S. defined contribution administration business to Transamerica Retirement Solutions L.L.C.

Transamerica also will be Mercer's preferred defined contribution record-keeper, Mercer said in a statement.

A Mercer spokeswoman declined to provide further terms of the deal, expected to close by the end of this year.

“We've delivered top-tier DC administration services for over 20 years. However, after an extensive evaluation of the retirement market and our existing DC administration services, we recognized that the marketplace has evolved to favor firms that offer full-service DC asset management and plan administration solutions,” the spokeswoman said Friday in an email.

Mercer's defined contribution retirement administration business has more than $71 billion in plan assets, 148 clients and more than 917,000 participants, according to the statement.

Following the deal's closing, Transamerica will provide retirement plan services to about 5 million people, bringing its total plan assets under administration to $216 billion, according to a separate statement released Friday by Aegon N.V., Transamerica's The Hague, Netherlands-based parent company.

“We are excited about this alliance with Transamerica as both firms share a deep passion for service excellence and value delivery,” Mercer's Chief Operating Officer Ken Haderer said in Mercer's statement. “After the transaction is complete later this year, we will partner with Transamerica for our defined contribution recordkeeping administration business. We also want to clearly state that we are committed to continuing to provide best of class service to our defined benefit and health clients through our own solutions.”

“We are looking forward to continuing Mercer's tradition of delivering excellent customer service to the defined contribution clients who will transition to Transamerica and expand our large market presence as part of this transaction,” Kent G. Callahan, president and CEO of the investments and retirement division of Transamerica, said in Mercer's statement. “At the same time, they'll gain the advantage of our enhanced retirement planning and reporting capabilities, mobile account management and retirement counseling services.”