Fri. Dec 27th, 2024

Just months after completing the merger with Macquarie Credit Union, Regional Australia Bank has announced anther merger, this time with the Lismore based Summerland Bank.

Regional Australia Bank have announced their intent to merge with Summerland Bank and are now moving towards undergoing due diligence to investigate the merger’s feasibility and benefits. The combined long-standing customer owned banks would expand market share and presence across Australia’s regional populations and unify their common goal to build strong communities through a member owned banking model.

This latest merger appears to have begun with Summerland swiping right.

“With our members and local communities at the forefront of our decision making, we proactively initiated discussions with Regional Australia Bank who operate on the same values of reciprocity, responsibility, community and sustainability as Summerland Bank,” John Williams, Summerland Bank CEO said.

“This potential merger presents exciting opportunities for our members as we could expand our market share and increase our pricing efficiency and competitiveness.”

“Together, we will have an increased ability to invest in infrastructure, compliance, security as well as new digital capabilities, products and services. A merger with Regional Australia Bank allows us to better serve our mission of supporting our members to realise their potential.”

Should the merger proceed, the combined entities would manage assets of $4.8bn and a total of 130,000 members and will immediately be focussed on providing benefits to existing members of both banks.

“Our commitment to investing back into our regions, responsibly and sustainably, remains unwavering,” David Heine, Regional Australia Bank Chief Executive Officer said.

“Our shared values and ambitions are sharpened through the union of two like-minded mutuals. This merger confirms our intent to empower all regional Australians through our customer-owned banking services.”

Both Summerland Bank and Regional Australia Bank are unique in their focus on in-branch and face-to-face banking, continuing to open new branches alongside increased digital integration and innovation. The merger will see an expanded network of branches, with no branch closures for the benefit of its members. Both brand names will also continue at least in the short term until a decision is made about future branding, ensuring a smooth transition and continued focus on member benefits.

The aggressive growth agenda is likely to be the subject of some discussion of the 2024 AGM of Regional Australia Bank is coming up on November 21 at Tattersall’s Hotel in Armidale. The board is being reduced to seven members: Alison Sheridan is not re-standing for the board, with Sally Mackenzie and Graham Olrich offering themselves for unchallenged for re-election.


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