Empower’s OptionTrax Acquisition Review

Empower’s acquisition of OptionTrax expanded its equity compensation capabilities, although the undisclosed purchase price leaves the financial merits of the deal difficult to judge.

On September 23, 2024, Empower announced that it had acquired Plan Management Corporation, the company behind OptionTrax.

The purchase brought an established stock plan administration business into its retirement and wealth management offering.

The deal gives Empower more services to sell and employers another way to consolidate their workplace benefits. Whether clients gain from that consolidation depends on the quality of administration, employee support and the costs involved.

If you would like to hear my thoughts on the acquisition and what it could mean for you, reach out.

My contact details are hello@adamfayed.com and WhatsApp ‪+44-7393-450-837.

The information in this article is for general guidance only, does not constitute financial, legal, or tax advice, and may have changed since the time of writing.

What did Empower acquire in the OptionTrax sale?

Empower acquired Plan Management Corporation in full, including its technology, intellectual property, licenses, contracts, and product and service offerings.

The purchase covered the business operating OptionTrax.

The $62 billion figure described the equity compensation plan value supported by OptionTrax at the time of the announcement. It was not the purchase price, the company’s valuation or its revenue.

Why did Empower buy OptionTrax?

Buying OptionTrax allowed Empower to add an established equity administration business to its workplace services.

OptionTrax supports stock options, restricted stock units, vesting schedules, grant management and financial reporting.

The acquisition announcement also described tax calculation functionality and services for public and private companies.

These capabilities gave Empower a way to meet more of an employer’s needs within an existing commercial relationship.

A company already using Empower for retirement administration could also consider it for its stock plan.

The appeal to Empower is straightforward. Selling additional services can deepen client relationships and create new revenue opportunities.

Employers have a different test. Combining providers needs to save work, improve service or offer better value. An existing relationship may make procurement easier, but familiarity alone does not establish that the stock plan offering is the right fit.

What has happened since the acquisition?

Empower reported further investment and expansion in its stock plan business after the purchase.

In an October 21, 2025 update, the company said the business was on track for 30% annualized growth entering the fourth quarter.

It also described expanded participant support, executive services and global Employee Stock Purchase Plan enrollment capabilities.

That update shows Empower continued developing the business beyond the initial announcement.

The growth figure was a company-reported trajectory at that date, however, not a completed annual result or a calculation of the acquisition’s return.

Conclusion

The OptionTrax acquisition gave Empower an established stock plan administration business to offer alongside its retirement services. Companies that provide equity compensation can now consider using Empower for both.

Empower’s subsequent update indicates continued investment and business expansion, but it does not establish whether the acquisition delivered a strong financial return or improved client outcomes.

The deal’s value to clients will depend on reliable administration, useful employee support and competitive costs.

A broader range of services gives companies more choice within Empower, but each service still needs to justify its place.