AUS
NZ
UK
CA
USA
IND
Highlights:
- Nationwide completed its £2.9bn acquisition of Virgin Money, forming a group with 24.5 million customers.
- Virgin Money shares have been delisted, and the brand will disappear from high streets within four to six years.
- The merger strengthens Nationwide's position, with chief executive Debbie Crosbie highlighting the value it brings to the mutual.
Nationwide Building Society has completed its £2.9 billion acquisition of Virgin Money UK PLC (LSE:VMUK), merging the UK’s fifth and sixth-largest retail banks. The merger, first announced in March, consolidates the two banks, creating a group that serves around 24.5 million customers.
Virgin Money’s shares have been delisted from the London Stock Exchange following the deal, which was completed at a price of 220p per share, along with a 2p dividend. Over the next four to six years, the Virgin Money brand will gradually disappear from high streets as Nationwide fully integrates the business.
Nationwide's chief executive Debbie Crosbie remarked, "Nationwide is now a stronger mutual and able to deliver even greater value," highlighting the enhanced position of the lender following the merger. The acquisition initially drew scrutiny from some customers, with members of the mutual calling for a vote on the takeover.
Nationwide, known for its mutual structure, where it is owned by its members rather than shareholders, aims to strengthen its market position through the acquisition. The combined business is expected to enhance service offerings and increase customer reach.
