Octopus Money has agreed to acquire Virgin Money Investments in a move that the firm said would "significantly accelerate its growth in the direct-to-customer (D2C) wealth market".

The deal, which is subject to FCA approval, will add 150,000 customers to Octopus Money’s growing business and, once completed, will see Octopus Money combine digital access to investments with human-led financial planning.

Octopus Money launched its investment platform two years ago to offer low-cost ways of managing savings and investments, which are integrated with financial planning. Since the launch, thousands of investors have started using the platform, with many going on to build long-term plans with the firm’s advisers.

Following completion of the deal, the Virgin Money brand name will no longer be used, and the company will begin operating under an Octopus Money brand.

Chief executive officer at Octopus Money, Ruth Handcock, said: "Our investment platform has always been closely tied to our mission – helping people feel confident they’ll have enough to live the future they want. Customers love being able to talk to a friendly expert, build a long-term plan and manage their investments all in one place.

"We’re thrilled to be expanding this part of the business by welcoming the brilliant team and customers from Virgin Money Investments – a company that shares our belief in making it easier for people to invest. Together, we’ll reach even more people with high-quality advice and straightforward, affordable investing – powered by smart technology and a human touch.”

CEO at Virgin Money Investments, Rich Milne, added: "I believe that the sale of our business to Octopus Money is an excellent outcome for our customers, our people and our business’s future. I’m really excited by the opportunity this gives us to grow, build our product offering and embrace a new, iconic brand.

"Octopus Money shares our values and is committed to supporting customers with great service and expert, personalised support. Together, we’ll be able to help more customers achieve their investing goals – I am confident this next chapter will be a positive one for everyone involved."

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