Greater Bank and Newcastle Permanent are moving to merge and create one of Australia’s leading customer-owned banks, after the results of Special General Meetings earlier today were confirmed.
With strongly favourable member votes, both organisations achieved well above the required 75% “Yes” threshold for both brands. Newcastle Permanent members also carried resolutions related to the merged entity’s name and constitutional amendments.
The merged organisation will have more than $20 billion in total assets and 600,000 customers, and benefit from almost 200 years of combined operating history.
The new merged entity, Newcastle Greater Mutual Group Ltd, will be led by a Board comprising four Directors from each of the current Greater Bank and Newcastle Permanent Boards. Wayne Russell, Chair of Greater Bank, will assume the role of Chair and Bernadette Inglis, CEO of Newcastle Permanent, will be Group CEO.
Wayne Russell, Chair of Greater Bank said the member vote was endorsement of the vision of both Boards to bring the two organisations together.
“This is a landmark outcome for our respective organisations, customers and employees that will enable us to create a financial powerhouse based here in the Hunter.”
Wayne Russell, Greater Bank Chair
“We are incredibly proud and humbled that our members have shared our vision by voting yes. Thank you to everyone who voted on the proposal.”
Mr Russell said bringing together the two brands under the one merged entity secures the future of mutual banking in regional NSW.
“While we have big plans to grow and develop our business, we remain committed to keeping skills and expertise, jobs and investment here in regional NSW. Starting with our commitment that our headquarters and customer contact centres will continue to be based in the Hunter, as they always have,” he said.
Bernadette Inglis, CEO of Newcastle Permanent said focus was now on bringing the organisations together.
“This is a momentous day for both our organisations and I could not be more delighted with the result,” said Ms Inglis.
“We’re looking forward to bringing everyone together and to affirming our position as a significant regional employer of choice. Working for the merged entity will create opportunities for our people, enabling them to forge rewarding and diverse careers possible in a larger organisation.
“We know our brands, Greater Bank and Newcastle Permanent, are important to our people and our customers, and we’re keeping both."
Bernadette Inglis, Newcastle Permanent CEO
“Maintaining both brands is, and will remain, critical to our ongoing strategy with Newcastle Greater Mutual Group Ltd having the resources to see them grow and evolve,” she said.
Newcastle Permanent and Greater Bank confirmed there will be no change to customers’ bank account details on merging, although customers will be able to use their Greater Bank or Newcastle Permanent card to access both brands’ ATM network for free.
The merger is planned to come into effect 1 March 2023, following final regulatory approvals.
