National Australia Bank Limited will divest National Australia Trustees Limited (NATL) to IOOF Holdings Limited (IOOF). This continues the retreat by the big banks from services which once were seen as customer relationship building but now are being sidelined by the evolution of online distribution, and the quest to boost their capital levels. This is leading to a focus on “core banking”.
According to Bloomberg, National Australia Trustees Limited operates as a statutory trustee company. The company acts as trustee, manager, executor, and agent, as well as engages in other associated activities. Its services include estate planning, estate administration, compensation trust, corporate trust, and personal asset management services.
IOOF’s trustee business, Australian Executor Trustees (AET), is one of Australia’s largest and most experienced specialist providers of estate and trustee services. National Australia Trustees is a significant provider of trustee services with a recognised history in Western Australia, New South Wales, Queensland and Victoria.
IOOF Managing Director, Christopher Kelaher, commented, “National Australia Trustees’ offering is a strong strategic fit with our existing trustee business. This acquisition demonstrates our commitment and belief that all Australians should have access to professional trustee services as part of their wealth planning to support their financial independence and provide them with peace of mind.”
“IOOF’s AET business is a leading trustee operator and this agreement will lead to improved outcomes for our combined customers who will benefit from greater scale and more specialist product offerings.”
National Australia Trustees CEO, Andrew Rimmer, said, “This is the right outcome for our customers and follows a strategic review by NAB of the NATL business.”
The acquisition of NATL means IOOF will become one of Australia’s largest compensation trust providers and this will further enhance both IOOF and AET’s national presence in offering specialist trustee services.
Completion of the sale is subject to regulatory approval and is expected to be finalised in the next few months.
Mr Rimmer said that, “During this period, National Australia Trustees will be working closely with IOOF to ensure the successful transition of staff, systems and customers.”Mr Kelaher added, “Both IOOF and NATL are committed to client service excellence and look forward to working together to ensure a smooth transition and continuation of superior client service.”
