Nationwide completes acquisition of Virgin Money

The acquisition has created the second largest provider of mortgages and savings in the UK.

Nationwide has completed its acquisition of Virgin Money.

First announced in March this year, the £2.9 billion takeover bid has now finalised, creating the second largest provider of mortgages and savings in the UK.

The acquisition has created a combined group with total assets of approximately £366.3 billion and total lending and advances of approximately £283.5 billion.

Nationwide intends for the Virgin Money business to rebrand over time. Virgin Money will keep its name for a four year period, after which it will have a two-year period to rebrand to Nationwide.

Virgin Money announced today that David Duffy has stepped down as CEO and executive director of the business, with Chris Rhodes taking over the roles.

Rhodes is chief finance officer of Nationwide, joining the Society in 2009 from Abbey Santander. He has spent over 30 years working in the financial services sector and his previous positions include deputy managing director of Girobank and retail operations director of A&L. In 2003 he was appointed as managing director retail banking for the entire A&L Group. In 2007 Chris moved to become group finance director, a role he held until the merger with Santander in 2008.

Chris Rhodes commented: “This is the start of an exciting new chapter for Virgin Money as it becomes part of Nationwide, creating the UK’s second-largest provider of mortgages and savings accounts. The combination will be a mutual with a wider range of products and able to invest more in customer service. We’re excited about our future as two purpose-driven businesses with a shared goal of supporting our customers, colleagues and communities."

Article in the Financial Reporter - Rozi Jones Editor