(Bloomberg) -- Co-Operative Bank’s shareholders signed off on a transaction that would sell the lender to Coventry Building Society for £780 million ($971 million), the latest sign of consolidation among British lenders.

The acquisition is expected to complete in the first quarter of next year. Integrating the two companies will take several years and during that time both lenders will retain their separate brands, according to a statement. 

Coventry’s board decided a member vote is not required to sign off on the deal, which has been in the works for months. The transaction creates a lender with an £89 billion balance sheet and will bolster Coventry’s branch footprint and add to its product offerings. 

Up to £125 million of the cash consideration will be deferred for three years from completion and is subject to future performance under the terms of the share purchase agreement.

The acquisition comes alongside Nationwide Building Society agreeing to acquire Virgin Money UK Plc for £2.9 billion earlier this year. Barclays Plc is also in the process of absorbing much of the retail banking assets of Tesco Plc.

Coventry’s Chairman David Thorburn and Chief Executive Officer Steve Hughes will retain those roles in the newly combined company.  

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