From Morningstar: 2024-05-31 07:00:00

The Competition & Markets Authority is investigating Nationwide’s acquisition of Virgin Money UK, worried about potential harm to UK banking competition. Nationwide offered 220p/share for Virgin Money, valued at £2.9 billion, aiming to become the UK’s second-largest mortgage and savings provider. Virgin Money shareholders voted in favor, with the deal expected in Q4 2024 pending court approval.

Morningstar analyst Nathan Zaia believes Nationwide’s offer for Virgin Money is fair, with a 38% premium to the share price pre-announcement. The proposed deal aligns with Virgin Money’s fair value estimate of 220p per share. Nationwide secured approval from directors and shareholders representing 14.9% stake, with a 75% shareholder vote needed for scheme approval.



Read more at Morningstar: CMA Looks Into Nationwide-Virgin Money Deal