(Reuters) – Australia and New Zealand Banking Group on Monday said it will buy insurer Suncorp Group’s banking operations for A$4.9 billion ($3.33 billion) to expand its retail and commercial businesses.
ANZ, one of the country’s top lenders, will raise about A$3.5 billion to fund the acquisition, the bank said.
The acquisition of Suncorp Bank will add A$47 billion portfolio of home loans, A$45 billion in deposits and A$11 billion in commercial loans, ANZ said.
“With much of the work to simplify and strengthen the bank completed, and our digital transformation well-progressed, we are now in a position to invest in and reshape our Australian business,” ANZ Chief Executive Officer Shayne Elliott said.
Separately, ANZ withdrew from its discussions with private equity giant KKR & Co to buy software firm MYOB Group.
($1 = 1.4734 Australian dollars)
(Reporting by Sameer Manekar in Bengaluru; Editing by Daniel Wallis)
