Australia and New Zealand Banking Group (ANZ) has wrapped up its previously announced sale of its retail, commercial and small-medium sized enterprise (SME) banking businesses in Papua New Guinea (PNG) to Kina Bank.
The deal was signed in June 2018 by the banking major in a move to focus completely on its institutional and large corporate banking business in PNG. The transaction is also said to align with ANZ’s simplification strategy apart from supporting customers with trade and capital flows in the country.
The financial terms of the transaction remained undisclosed.
The sale included all ANZ’s 15 branches, the complete ATM network, and ongoing roles for employees currently supporting the retail, commercial and SME banking businesses.
The businesses offloaded to Kina Bank by the banking major cater to 85,000 retail and 6,000 commercial and SME customers, and includes nearly A$150m (£81.71m) in lending assets and nearly A$450m (£245.12m) in deposits.
ANZ institutional Australia and PNG managing director Graham Turley said: “ANZ is committed to running a world-class Institutional bank across our International network, in line with our strategy of simplifying our business and focusing on customers driven by trade and capital flows.
“We have been in PNG for 109 years and we continue to see significant opportunities for business and economic growth through long-term investment and support of the resources, energy, infrastructure and agriculture sectors.”
Kina Bank on what the deal means to ANZ customers in PNG
According to Kina Bank, ANZ customers account numbers will continue to be the same and their existing cards will work as well. Furthermore, the customers can log-on to Kina Bank’s internet banking platform using their ANZ log on details.
Kina Bank is a fully-owned subsidiary of Kina Securities, a PNG-based company listed on the Australian and Port Moresby stock exchanges.
In the past, ANZ announced the sale of its retail and wealth businesses in Singapore, Hong Kong, China, Vietnam, Taiwan, Indonesia and also its Joint Venture stakes in ANZ Royal Bank in Cambodia and Metrobank Card in the Philippines.
