Following an extensive due diligence process, CareSuper is poised to become a $57 billion fund by the year’s end.
CareSuper and Meat Industry Employees’ Superannuation Fund (MIESF) have entered into a binding agreement to merge the two funds, which will see some 17,000 members and $1 billion in funds under management added to CareSuper’s current $56 billion.
According to the two funds, the announcement follows an extensive due diligence process, with the merger expected to be completed later this year.
The deal is subject to CareSuper and MIESF completing their respective members’ best financial interests and equivalent rights assessments and signing a Successor Fund Transfer Deed.
In a joint statement on Monday, CareSuper chair Linda Scott and MIESF chair Chris White said the move is a “critical and positive step forward” in serving its members’ best financial interests.
“Both funds recognise our shared focus on putting members first and the importance of providing strong retirement outcomes combined with excellent service and personalised advice to our members,” the chairs said.
“CareSuper is a mid-sized fund, so we’re big enough to make a difference, but small enough to care about each of our members.”
Expounding on the deal, Scott and White said that, having undertaken the required due diligence processes, the funds believe that “a shared future is the best way forward to continue delivering competitive fees and outstanding value”.
“Members can rest assured they will be kept informed as the merger progresses,” they said.
Until then, both funds will operate independently of each other, with administration, investment, and member service managed by each fund.
In November, CareSuper and MIESF said that they were exploring a member transfer into CareSuper, announcing they had entered into a heads of agreement.
CareSuper also finalised its merger with Spirit Super in November.
