Lloyds plotting to acquire savings company for £400m

Lloyds Banking Group is plotting to acquire a savings company for £400million in its biggest deal since the bank was privatised. 

It is understood to be in exclusive talks to buy Embark Group, which manages £38billion of savings and retirement products. 

The deal, first reported by Sky News, would be the largest undertaken by Lloyds since the Government offloaded its stake in the bank in 2017. 

The group was rescued by a £20billion taxpayer bailout in the wake of the 2008 financial crisis. 

Spending spree: Lloyds is understood to be in exclusive talks to buy Embark Group, which manages £38billion of savings and retirement products

Talks are understood to have started last year when Antonio Horta-Osorio was chief executive, before he left recently to join Credit Suisse. 

He will be replaced by HSBC banker Charlie Nunn in August. Lloyds, which already holds a dominant position in mortgages and current accounts, wants to grow its business in wealth management and insurance. 

Lloyds’ last big acquisition was its £1.9billion takeover of credit card business MBNA in 2016. 

Embark is a digital investment company that provides retirement and savings products using brands such as The Adviser Centre, Vested and Rowanmoor. 

It was founded in 2012 by chief executive Phil Smith. 

BlackRock, Franklin Templeton, and Legg Mason are understood to have shareholdings in Embark. 

Lloyds declined to comment.