Barclays Strengthens Position in Youth Financial Services
Barclays (LSE:BARC) has agreed to acquire children’s debit card and money management platform GoHenry as part of a strategy to broaden its banking services for younger customers and deepen relationships with family households.
The acquisition will see Barclays take ownership of GoHenry’s UK business from U.S.-based fintech company Acorns, which will retain control of the brand’s American operations. Financial terms of the transaction were not disclosed.
The deal is expected to complete towards the end of the year, subject to customary conditions.
GoHenry Brand to Continue Operating Independently
Barclays said it intends to retain the GoHenry brand and continue operating the standalone app following completion of the acquisition.
Founded in 2012 by British entrepreneur Louise Hill, GoHenry provides prepaid debit cards and financial education tools for children and teenagers aged between six and 18. The platform combines parental controls with budgeting, saving, investing and money-learning features designed to help young users develop financial skills.
The business currently serves around 500,000 children in the UK and employs approximately 200 staff.
Deal Expands Access to Family and Affluent Customer Segments
Barclays believes the acquisition will enhance its ability to attract and retain family customers, including more affluent households seeking financial education tools for younger family members.
The bank also sees an opportunity to create a longer-term customer journey, allowing GoHenry users to transition into Barclays banking products as they move into adulthood.
UK chief executive Vim Maru said: “GoHenry has played a pioneering role in creating youth-focused financial services, building a market-leading brand for children thanks to its innovative all-in-one app.
“We’re excited to welcome GoHenry to Barclays, where it will turbocharge our offering for households and families.”
GoHenry Founder Sees Opportunity for Continued Growth
GoHenry founder Louise Hill said the acquisition would allow the company to expand its reach while maintaining the brand that has been built over the past decade.
She said: “GoHenry isn’t going anywhere” and added that the company would be able to “do more” as part of Barclays.
“It also enables us to offer GoHenry members a pathway to continue their money journey when they hit 18 – because financial education shouldn’t have a start or end date.”
More About Barclays
Barclays PLC is one of the UK’s largest banking and financial services groups, providing retail banking, wealth management, corporate banking and investment banking services to customers globally. The company has been increasing its focus on digital banking and customer engagement, with the GoHenry acquisition representing a further step in expanding its presence among younger consumers and family households.
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