AvSuper and CSC scrap merger plans

16 February 2023
| By Laura Dew |
image
image
expand image

AvSuper and Commonwealth Super Corporation (CSC) have scrapped discussions about a potential merger.

The two funds had entered into a Memorandum of Understanding last May and been conducting due diligence to determine if a merger was in the best interest of their respective members.

This had taken place over the past few months which the funds said had been “thorough, co-operative and a valuable experience”.

However, it was concluded the process would be too complex to enact.

CSC chief executive, Damian Hill, said: “This process has revealed there is positive business case to support CSC’s merger with AvSuper and AvSuper would be viable merger partner for CSC.

“[But[ the merger could not be accommodated within the existing policy and legislative framework the Commonwealth’s superannuation arrangements.”

AvSuper chief executive, Michael Sykes, added: “It’s disappointing that the merger with CSC will not be proceeding further however our members need certainty around AvSuper’s future.

“We thank CSC for their time and consideration of the benefits that a merger could bring to both parties.”

CSC had a 100-year history of providing super services to current and former Australian Government employees and Australian Defence Force employees and veterans while AvSuper was formed in 1990 and dedicated to the aviation and aviation safety industries.

Read more about:

AUTHOR

Add new comment

The content of this field is kept private and will not be shown publicly.

Recommended for you

sidebar subscription

Never miss the latest developments in Super Review! Anytime, Anywhere!

Grant Banner

From my perspective, 40- 50% of people are likely going to be deeply unhappy about how long they actually live. ...

3 months 3 weeks ago
Kevin Gorman

Super director remuneration ...

3 months 4 weeks ago
Anthony Asher

No doubt true, but most of it is still because over 45’s have been upgrading their houses with 30 year mortgages. Money ...

3 months 4 weeks ago

The dedicated super fund for emergency services and Victorian government employees is under fire for unpaid entitlements to transport employees, which could exceed $40 mi...

1 day 19 hours ago

The Association of Superannuation Funds of Australia has tapped an experienced public policy executive as head of policy and advocacy....

2 days 13 hours ago

In a Senate submission, the Financial Services Council said super funds should be able to nudge members on engaging with their super and has cautioned against default pla...

2 days 20 hours ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND