Barclays Agrees to Acquire GoHenry U.K. Unit, Boost Youth Banking

Barclays BCS is strengthening its presence in youth banking by agreeing to acquire GoHenry’s U.K. business from Acorns. The deal supports Barclays’ strategy of building stronger relationships with families and higher-income households.Expected to be completed in the fourth quarter of 2026, pending regulatory approval, the acquisition will bring one of the U.K.’s leading financial apps for children and teenagers under the Barclays umbrella.Founded in 2012, GoHenry offers a digital platform designed to help children and teenagers develop financial skills through a prepaid debit card, budgeting tools, savings features and educational content. The platform currently serves more than 500,000 children in the U.K. and has supported more than 2 million young people in learning how to manage money.Barclays plans to preserve the GoHenry brand and continue operating the standalone app after the acquisition. By adding GoHenry’s established customer base and technology platform, Barclays will gain an opportunity to engage customers at an earlier stage of their financial lives and potentially retain those relationships into adulthood.The acquisition comes at a time when traditional banks are facing increasing competition from fintech companies that are attracting younger customers with digital-first financial products. By bringing GoHenry into its portfolio, Barclays aims to strengthen its position in the youth banking market while advancing its goal of serving customers throughout their financial journey — from a child’s first debit card and savings account to wealth-building and retirement planning.ConclusionFor Barclays, the acquisition represents an investment in future customer growth rather than a near-term earnings driver.While the transaction is expected to modestly reduce the bank’s CET1 ratio by five basis points, management has indicated that it will not alter Barclays’ financial targets.Over time, GoHenry is expected to strengthen Barclays’ household banking franchise, enhance customer loyalty and create additional cross-selling opportunities across savings, investing and wealth management products.Barclays’ Price Performance & Zacks RankOver the past six months, BCS shares have gained 5%, underperforming the industry’s 11.5% growth. Image Source: Zacks Investment Research Currently, Barclays carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Acquisitions by Other Finance FirmsAt the beginning of this month, U.S. Bancorp USB acquired BTIG, LLC, a transaction that strengthens the company’s capital markets platform by adding institutional equity sales and trading, equity capital markets, equity electronic trading, and merger and acquisition advisory capabilities.The acquisition aligns with U.S. Bancorp’s broader strategy to deepen its capital markets capabilities and diversify fee-based revenue streams. BTIG’s expertise in institutional trading, equity capital markets and advisory services is expected to strengthen USB’s ability to serve corporate and institutional clients through a more comprehensive suite of products and solutions.Last month, KKR & Co. Inc. KKR completed its previously announced acquisition of Arctos Partners, a premier institutional investor in professional sports franchise stakes globally and a provider of asset management solutions for sponsors. The transaction received the specified sports league approvals required for closing.The closing marks a major step in KKR’s strategy to expand its alternative investment platform through sports investing, GP solutions and secondaries capabilities, while strengthening its sourcing and origination engine across private markets.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.Free: See Our Top Stock And 4 Runners UpThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks