Furniture retailer Ikea is to acquire a 49% stake in Ikano Bank with the aim of offering a full suite of banking services instore and online.
The acqusition, by the retailer's parent company Ingka Investments, is described as a "decisive step into financial services" that will "help make Ikea more affordable, accessible and sustainable".
Ikea and Ikano bank have a shared history - originating from the same founding family - and a longstanding commercial partnership, where Ikano Bank has served as Ikea’s financial service provider across eight countries.
Krister Mattsson, managing director, Ingka Investments comments: “The significant investment in Ikano Bank is an exciting step for Ingka Investments into the banking sector. As customers and retailers increasingly seek banking solutions with a strong digital foundation, our commitment to work even closer with Ikano Bank during its digital transformation is a great opportunity to serve new and existing customers alike.”
Ikano Bank has been operating in the UK since 1994, offering easy-access and fixed-rate savings accounts direct to the public as well as store cards for a number of major retailers.
Ingka said it was acquiring the stake through the issue of new shares by Ikano Bank, with the option to acquire the remaining 51% at a later date.
Financial terms were not disclosed.