Tandem Bank acquires money app Loop for undisclosed sum
UK challenger Tandem Bank has acquired Loop, a social money sharing app, for an undisclosed sum.
Tandem acquires Loop
Launched early last year, London-based Loop allows friends and family to share expenses, and lend and borrow money from each other, without having to incur “expensive” bank overdraft charges.
Since its launch, Loop claims to have reached out to two million people, targeting students and young professionals. Loop will continue to operate as a standalone brand, with Tandem’s products and features being embedded into the app.
With the acquisition, Tandem Bank aims to provide its customers a “unique” way of borrowing and lending, while also supporting the transition to a low-carbon economy.
“Loop’s unique approach to money sharing offers users a real alternative to expensive overdrafts,” says Tandem CEO Alex Mollart.
He adds that Loop’s “early success” among Gen Z users provides an opportunity for Tandem to grow its customer base “among a generation of climate-conscious consumers”.
Early last year, Tandem Bank acquired UK-based consumer lender Oplo in a bid to create a “fairer, greener digital bank”. Tandem claims that acquisition led to “significant growth” in its assets as well as the bank attaining profitability.
In November, it appointed a new chief financial officer and a chief revenue officer to bolster its senior leadership team.
