Yorkshire Building Society (YBS) has acquired the £430m mortgage book of Citigroup subsidiary Egg Banking plc.YBS has also acquired Egg’s £2.5bn savings business plus the firm’s branding, with the deal expected to complete in the fourth quarter of this year, subject to High Court approval.
All of Egg’s mortgage and savings customers will become YBS customers after the deal, which the building society says will increase its range of products and its capacity to lend.
Iain Cornish, chief executive of YBS, said: “We are looking forward to welcoming Egg’s mortgage and savings customers to the Yorkshire. We will work closely with Egg to ensure that customers are kept fully informed throughout this transfer process.”
The acquisition will be implemented by a banking business transfer under Part VII of the Financial Services and Markets Act 2000. As well as approval by the High Court, considerations will take into account the opinion of the Financial Services Authority (FSA) on the deal.