Heartland Group says it has signed a deal to acquire TSB Bank for $620 million and create “a New Zealand challenger bank of scale with a regional focus”.<\/p>\n
Under the proposed deal, Heartland Group Holdings will acquire all TSB shares from the Toi Foundation and then merge to create TSB Heartland Bank Limited.<\/p>\n
TSB Heartland Bank would become New Zealand’s seventh largest bank, with around $15 billion in total New Zealand assets.<\/p>\n
Heartland chief executive Andrew Dixson said the sale would enhance the bank\u2019s ability to compete and increase financial resilience.<\/p>\n
“By combining Heartland Bank\u2019s specialist product expertise with TSB\u2019s cost-effective funding platform and transactional banking capabilities, TSB Heartland Bank will be a full-service capable bank differentiated by its specialist product offerings, with a lower risk-weighted product portfolio,” he said.<\/p>\n
“As a larger bank, TSB Heartland Bank will be in a stronger position to keep investing in products and technology, while supporting the delivery of improved financial returns for our shareholders,” Dixson said.<\/p>\n
The deal was expected to be completed in December, pending appropriate regulatory approvals, including community consultation with Taranaki residents which runs from June 3-30.<\/p>\n
Toi Foundation said it believed the proposal would help increase sustainable long-term cash returns, diversify investment risk, ensure longevity for TSB and maintain a connection for TSB with the Taranaki region.<\/p>\n
TSB, or the Taranaki Savings Bank, has been owned by Toi Foundation – a perpetual philanthropic community trust, which also owns 66% of Fisher Funds – since 1988.<\/p>\n
Heartland is an Australasian financial services group providing specialist banking products to New Zealanders and Australians.<\/p>\n
The morning’s headlines in 90 seconds, including weather watches in force, and the GOAT makes a comeback. (Source: 1News)<\/p>\n","protected":false},"excerpt":{"rendered":"Heartland Group says it has signed a deal to acquire TSB Bank for $620 million and create “a…\n","protected":false},"author":2,"featured_media":456409,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[138,111,139,69,244],"class_list":["post-456408","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-business","tag-new-zealand","tag-newzealand","tag-nz","tag-personal-finance"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/456408","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=456408"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/456408\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/456409"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=456408"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=456408"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=456408"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}