TSB, Heartland delay merger to March 2027

Detailed summary

Two New Zealand-owned banks are confident they can meet their new merger date, set for next year. TSB and Heartland Bank began discussions mid-last year on the $620 million…

Two New Zealand-owned banks are confident they can meet their new merger date, set for next year.

TSB and Heartland Bank began discussions mid-last year on the $620 million acquisition and merger.

The merger was approved by Heartland Group shareholders [https://www.rnz.co.nz/news/business/1667646/heartland-shareholders-vote-to-proceed-with-620m-tsb-takeover

The parties had thought the merger could go ahead by the end of December but that has now been extended by two months, to 1 March.

With the holidays approaching, a later date gives the Reserve Bank time to work through the regulatory process, TSB said.

The proposal took a significant step forward in August when TSB's owner, Toi Foundation, voted to proceed with the deal.

The decision by Toi trustees to back the merger followed a failed High Court bid by locals to block the deal, and a last-minute approach from Kiwibank's parent, Kiwi Group Capital, who wanted its own merger proposal with TSB to be considered.

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