Summerland Bank and Regional Australia Bank have successfully completed the due diligence process and have received respective Board approvals to progress to the next stage of their proposed merger. 

The two celebrated customer-owned banks jointly announced their intent to merge in October 2024.

This significant milestone follows months of detailed planning and collaboration between the customer-owned banks. Following an intensive, independently conducted due diligence process, the recommendation to merge was approved by Summerland Bank’s Board on 14 April and at Regional Australia Bank’s Board meeting on 15 April.

David Heine, CEO of Regional Australia Bank, says: “This is a proud step forward for both Regional Australia Bank and Summerland Bank.

"The successful completion of the due diligence phase and Board approvals highlights the strength of our alignment, values and shared ambition for our proposed merger. This partnership represents a meaningful milestone in our ambition to be chosen by more regional Australians to be their bank. Together we can accelerate our work to deliver a more vital regional Australia through finding the good that money can do.” 

With Board approvals, Regional Australia Bank and Summerland Bank will move forward with regulatory approvals and integration planning. 

Summerland Bank CEO, John Williams, adds: “Now that the important due diligence phase has been completed, we look forward to further engaging with customers over the coming months.

"We value customer feedback and questions on the merger and remain committed to keeping our customers and communities informed every step of the way. We are excited about this natural and powerful partnership for our future, that is based on our strong collective culture and mutual commitment to putting customers and communities first. Together, we will deliver more value, more innovation, and a stronger future for our members and respective communities as we grow and expand.”

The merger will deliver a number of benefits for members, communities, and current and prospective employees across the regions the banks will serve together, including:

• Enhanced Customer Experience: A broader range of products and services, accessible through a large network of branches and digital channels.

• Community Investment: Increased capacity to support local projects, charities, and sustainability initiatives that align with local and regional values.

• Financial Opportunity: Greater financial size and strength allows for more opportunities to invest in and support member safety programs, innovative product solutions and local businesses.

• Employee Opportunities: More diverse roles, training pathways, and career development for employees, underpinned by a collectively strong and supportive workplace culture. Both banks remain committed to transparency and open communication as they prepare documentation for submission to the banking regulator, APRA. Members and employees will be kept informed throughout the process, with the shared goal of ensuring a smooth and positive transition. 

“We know our customers may have questions, and we are here to help every step of the way,” says Mr. Heine. “This is a change built on shared values and with a sharp focus on our members' continuity and growth.”

Mr. Williams echoed this sentiment: "We're optimistic about the opportunities this merger will unlock for everyone who banks with us and for the communities we proudly support.”

Customers can bank with confidence knowing that there are no branch closures planned as a result of the proposed merger and both Regional Australia Bank and Summerland Bank will continue to operate under their existing brands during the merger process.

Summerland Bank’s B Corp Certification signifies a commitment to social and environmental responsibility, and Regional Australia Bank is proud to continue alongside its own Community Partnership Program. Together, the customer-owned banks will advance these principles of business accountability as they invest in regional communities by supporting local organisations and empowering businesses.

The proposed merger will expand access to banking services, combining Regional Australia Bank’s 39 branches across regional NSW, from Wagga Wagga to Tenterfield covering the New England, Riverina, Central West, Mid North Coast, and Greater Newcastle regions, with Summerland Bank’s 10 branches from Grafton to Kyogle and Casino covering the coastline from South-East Queensland to the Northern Rivers of NSW.

Together, the banks will offer more face-to-face service points across an expanded regional network, supported by their shared commitment to personalised, community-focused banking.