Virgin steps up bid to become major British bank. Virgin Money, part of Richard Branson's Virgin empire, took big strides on Friday towards becoming a major British retail bank, able to compete in a battered sector. Virgin Money said it had agreed to buy regional private bank, Church House Trust for £12.28 million (13.7 million euros, $19.6 million). It plans to use the lender as a platform to offer savings and mortgage products to customers under the Virgin Money brand, which is known for its popular credit card and insurance offerings. The purchase is also seen as providing a platform for Virgin Money to buy an even bigger bank, providing true competition to Britain's biggest retail lenders. "The Church House Trust business offers us a strong platform for growth," Branson said in a statement announcing the deal.
"Virgin Money aims to bring simplicity to the UK banking market which has traditionally been a complex sector," he added. Virgin Money said it would inject £37.3 million of new capital into Church House Trust. Virgin Money moves into retail banking. Virgin Money has made its much-anticipated move into the retail banking sector by taking over a small private bank.
The £50m deal to buy Church House Trust was announced to the City this morning. It is a key part of Sir Richard Branson's attempt to challenge the UK's major high street banks, and comes two years after Virgin failed to win control of Northern Rock. "Virgin Money aims to bring simplicity to the UK banking market, which has traditionally been a complex sector," said Branson, who believes the move gives Virgin "a strong platform for growth". Virgin Money offers various personal financial products, including credit cards, insurance and pensions.
Acquiring Church House Trust gives Virgin a banking licence, putting it in a position to take deposits from savers and offer mortgages. Virgin Money will pay nearly £12.3m for the bank, and will inject another £37.3m of fresh capital into it. Church House Trust is based in Yeovil, Somerset, and in Leeds. Virgin May Buy More Banking Assets After Church House Purchase - Sir Richard Branson taps Blackstone for assault on Northern Rock.
Virgin Money appoints RBS, B&B and Lloyds directors. 18 January 2010 | By Natalie Thomas Virgin Money has made three new appointments to aid its expansion into the retail banking market.
It has appointed Finlay Williamson, ex-finance director of The Royal Bank of Scotland as chief financial officer, Ian Cornelius, ex-director of retail products at Bradford & Bingley as managing director and Marcus Ezekiel, ex-head of legal at HBOS Retail division, as commercial director. A spokesman for Virgin Money, says: “I am delighted to welcome Finlay, Ian and Marcus to Virgin Money.
“Our approach to banking will be founded on developing a sustainable, well capitalised and prudently managed retail bank with an absolute focus on serving customers. With their skills, knowledge and banking experience they will be invaluable additions to the Virgin Money management team”. Virgin Money has made an offer for Church House Trust a regional private bank. Daily Email Updates The Money Marketing CPD Centre.
Virgin Money CEO says eyeing UK banking assets.