ANZ is progressing to the final stages of its proposed acquisition of Suncorp Bank, after the deal received the Federal Treasurer's approval under the Financial Sector (Shareholdings) Act on Friday, targeting a completion date of 31 July 2024.

The approval follows the Australian Competition Tribunal's approval in February 2024 and the passing of legislation by the Queensland government in June 2024 to amend the Metway Merger Act. The transaction was first announced in July 2022.

The integration of the two banks will take place over three years, with ANZ and Suncorp's regional branch numbers to be retained in Australia during that period. There will also be not net job losses within three years.

ANZ Chief Executive Officer, Shayne Elliott, said: “This is a significant milestone in our plans to expand our presence in Queensland and bring the best of ANZ to Suncorp Bank customers."

"Looking ahead, we’re pleased to be one step closer to this strategically important acquisition which will allow us to add scale to our Retail and Commercial businesses while enabling ANZ to more effectively compete in the Australian market. Our plans for the integration are well advanced and we are confident of the substantial benefits that will flow," said Elliott.

Post-sale, Suncorp Group CEO Steve Johnston said the company will focus on "meeting the evolving needs of insurance customers and addressing increasingly complex challenges such as climate change and affordability." Suncorp has agreed to waive the $10 million per annum brand license fee that ANZ was to pay for a period of five years.

"The Suncorp Group Board remains committed to returning to shareholders the majority of net proceeds following completion of the sale," said Suncorp Group Chairman, Christine McLoughlin. "Timing of the planned capital return to shareholders is dependent on finalisation of the completion accounts, receipt of a ruling from the Australian Tax Office and approval from the Australian Prudential Regulation Authority. We expect the capital return will occur in the first quarter of the 2025 calendar year."

ANZ will continue its ongoing efforts to reach an agreement with Australia Post, on a commercial basis, to offer Bank@Post services to its customers. The acquisition is subject to three sale conditions – authorisation under Australia’s competition laws, Federal Treasurer approval, and Queensland legislative amendments.