Nationwide Building Society has announced it has agreed terms for a takeover of Virgin Money in a £2.9bn deal to create a larger rival to the UK’s major lenders.
In brief:
- While the deal has not been finalised, the offer on the table would see the two brands continue to be run as separate companies, with the Virgin Money brand retained for six years.
- If the acquisition proceeds, it will accelerate our strategy and create a stronger and more diverse business that is better placed to deliver financial value to our members, both now and in the future.
- While the deal has not been finalised, the offer on the table would see the two brands continue to be run as separate companies, with the Virgin Money brand retained for six years.
What does this mean?
Nationwide Building Society’s Chairman, Kevin Parry, wrote "The combination of our businesses would put us in a stronger position to continue to provide Fairer Share Payments to our eligible Nationwide members, better value mortgages and savings, and leading customer service. Over time, we would aim to provide a wider range of products and services to our customers and members, including Virgin Money’s well-established business banking services.
A combined group would deliver the benefits of fairer banking and mutual ownership to more people in the UK. Nationwide remains wholly committed to being a modern mutual that can meet all its members’ banking needs."
