- Memorandum of Understanding signed to investigate potential merger of equals.
- Member benefits at the forefront.
- A merged entity would create one of Australia’s largest customer-owned banks.
- Strong cultural alignment between the banks.
- A shared commitment to customers and community.
- A strong branch presence to remain in all existing regions.
- All employees to be offered roles in the merged entity.
P&N Bank (Police & Nurses Limited/PNL) is pleased to advise members that we have signed a Memorandum of Understanding (MoU) with Beyond Bank Australia (BBA) to investigate a merger of equals, aimed to create a better customer—owned bank in the future.
Following the successful merger of P&N Bank and BCU Bank in 2019, we have continued to search for another like-minded customer-owned bank to merge with to future proof our organisation in this highly competitive Australian banking landscape.
We have recently signed a Memorandum of Understanding with Beyond Bank Australia (BBA), a large and trusted customer-owned bank very much like us in terms of customer-centricity and focus on community, and with a very aligned culture.
After a period of due diligence, should the Board recommend the merger to members, members would have the opportunity to vote sometime in 2025.
This would be preceded by an extensive member communication program throughout 2024/25 that would outline the benefits to members including greater investment in products and customer services as well as an expanded geographic footprint and community presence.
The new merged entity would create one of Australia’s largest customer-owned banks with total assets close to $20 billion.
Beyond Bank Australia’s strength across South Australia, the ACT, Western Australia, New South Wales and Victoria, combined with P&N Bank’s market-leading position in Western Australia and BCU Bank’s continued growth across Northern NSW and Southeast Queensland, would create a vast metropolitan and regional footprint.
“With close alignment of culture and values, and a shared focus on members, we believe that our banks would make ideal merger partners. The opportunity to bring two financially strong and growing customer-owned banks together to create one of Australia’s leading member and community-focused entities is an exciting one for our employees and our members,” said Mr Gary Humphreys, Chair, Police & Nurses Limited.
“Banking has changed significantly in the past decade. The industry is highly competitive, and given the critical investments required in digital banking, cyber security, technology, and regulation, to name just a few, achieving scale through mergers like this can help ensure that we remain competitive and sustainable.”
“By combining our size and people capabilities to become a stronger organisation for all of our members, our merged entity will be in a better position to continue to invest in delivering the best value and service to our members of today and the future.”
Beyond Bank Australia Chair, Mrs Sam Andersen agreed, citing both a shared history and a future commitment to communities and sustainability as a solid foundation for a proposed merger.
“Both banks have long and proud histories through their credit union origins, which are at the heart of our modern customer-owned banks. We both recognise, and are committed to, the value of cooperative purpose and principles that have helped us create a positive impact for our customers and communities over many years,” said Mrs Andersen.
“We’re excited by the opportunity to jointly build on our shared commitments to people, customer-owners and communities through our core purpose of changing the lives of our customers and communities through financial wellbeing. We will continue to be a proud Bcorp and pursue our goal of being the best Relationship bank in Australia. A merger will enable us to create an even stronger, more sustainable bank that continues to thrive well into the future.”
The two banks have affirmed that maintaining a strong branch network across the existing regions and all employees being offered meaningful roles in the merged entity are key components of the proposed merger.
The proposed Board composition of the merged entity would be made up of equal representation from the existing Boards of Beyond Bank and Police and Nurses Limited. Gary Humphreys (PNL) would be appointed as the inaugural Chair with Jake Bromwich (BBA) appointed the inaugural Chief Executive Officer.
With the Memorandum of Understanding now signed, Police and Nurses Limited and Beyond Bank Australia embark on the due diligence process that will likely take several months.
Following this, if both Boards agree to proceed, members will be asked to vote on the proposed merger in 2025 once all the appropriate regulatory reviews and approvals are complete.
Members will be kept informed of progress and will be provided with further information to support them in making an informed decision if the merger is brought to a vote.