Hampshire Trust Bank has agreed to buy Wesleyan Bank from the Wesleyan Assurance Society to boost its presence in the UK market.
The specialist lender says the combined business will be led by its chief executive Matthew Wyles and chief financial officer Tim Blackwell.
Hampshire Trust Bank, formed in 1977, offers specialist mortgages through brokers, personal savings and lends to UK-based firms.
Wesleyan Bank became part of mutual in 1993 and among its services offers commercial lending and runs a broker partnership programme. It also sells insurance to a range of professions such as doctor’s surgeries, dentists and lawyers.
Wesleyan Assurance Society traces its roots back to 1841.
Hampshire Trust Bank did not disclose how much it paid for Wesleyan Bank, but says “the deal is expected to complete during the coming months”.
Wesleyan Bank’s 115 staff will transfer with the bank and will continue to work from their existing offices. The lender’s head office is in Birmingham.
Hampshire Trust Bank chief executive Matthew Wyles says: “HTB’s growth strategy has always included an intention to supplement our development through acquisition when the right opportunity presented itself.
“We are very pleased to have agreed this deal with Wesleyan Assurance Society and we are excited about the added scale and momentum which this transaction will bring to HTB’s existing dynamic franchise.
“HTB delivered a very strong trading performance during the first half of 2021 and we look to the future with great confidence.”
Wesleyan Group chief executive Mario Mazzocchi adds: “Wesleyan Bank has been enjoying considerable success in recent years as it focuses on supporting its professional and SME customers with medium-term asset finance and longer-term secured loans.
“Following a strategic review, we found the growth opportunities ahead of the bank were different to those of our core business, which will continue to focus on the specialist financial needs of doctors, dentists and teachers.
“Seeking new ownership for the bank provides positive outcomes for both businesses, their customers as well as our members and makes strategic sense for all parties.”
