Originally Posted by
Anna Naum
Nope
New bank won't rescue SC Finance: CBS
12:14 PM Tuesday Jun 1, 2010
The proposed merger of Pyne Gould Corporation's Marac, Canterbury Building Society and the Southern Cross Building Society to create a "heartland" bank based in Canterbury won't be the white knight for struggling South Canterbury Finance, CBS CEO Bryan Inch says.
Inch told interest.co.nz talks between the three parties had been ongoing since he became CBS's CEO in October 2008 and had got more serious this year.
Discussions incorporated "pretty well all" the main players in the non-bank financial sector.
However, many of the other market players were still mutuals and would need to consider demutalisation if they were to join the trio, Inch said.
Asked if there had been any suggestion of including South Canterbury Finance in the tie-up Inch said "not at all".
"No, they have to sort themselves out," Inch said.