Bank of Melbourne (1989)
Encyclopedia
The Bank of Melbourne was a financial institution based in Melbourne
, Australia
, established in 1989 and taken over by the Westpac Banking Corporation
(Westpac) in 1997. In 2011 Westpac resurrected the brand
as a subsidiary.
following on 13 July 1989. The first chairman of the bank was Christopher Stewart, who chose Australian actor Jack Thompson
to head the bank's TV advertising campaign, which ran for a decade.
The bank focused operations on retail banking
, with a branch network and operations focused on the state of Victoria
. As a former building society
, the bank was also heavily involved in lending in the residential property market. In 1996 the bank acquired the Victorian business of Challenge Bank from Westpac for A$659.7 million, making the Bank of Melbourne the fourth largest regional bank, and the eighth largest of all listed banks in Australia. By this time the Bank of Melbourne also held 9.6% of the Victorian lending market, 11.6% of the Victorian deposit market, and operated a network of 125 branches, predominantly in Melbourne.
The proposal required the approval of the Australian Competition and Consumer Commission
(ACCC), the Reserve Bank of Australia
(RBA) and the Treasurer of Australia
; these being given by July 1997. On 29 September 1997 a vote was held for ordinary Bank of Melbourne shareholders to approve the proposal, with over 96% approving the takeover. Westpac retained the rights to the Bank of Melbourne name and logos, and operating in Victoria under the Bank of Melbourne brand until January 2004, when Westpac moved all operations to a single national brand name.
In 2009 speculation suggested Westpac was to relaunch the brand for a new internet-based deposit business, but with no resulting action until July 2011, when the Bank of Melbourne commenced operations
as a subsidary of Westpac.
Melbourne
Melbourne is the capital and most populous city in the state of Victoria, and the second most populous city in Australia. The Melbourne City Centre is the hub of the greater metropolitan area and the Census statistical division—of which "Melbourne" is the common name. As of June 2009, the greater...
, Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
, established in 1989 and taken over by the Westpac Banking Corporation
Westpac
Westpac , is a multinational financial services, one of the Australian "big four" banks and the second-largest bank in New Zealand....
(Westpac) in 1997. In 2011 Westpac resurrected the brand
Bank of Melbourne (2011)
The Bank of Melbourne is a financial institution operated in Victoria, Australia. A subsidiary of the major Australian bank Westpac, it commenced operations on 25 July 2011....
as a subsidiary.
History
The Bank of Melbourne was established in July 1989, following the granting of a banking licence to the RESI Statewide Building Society, with a listing on the Australian Stock ExchangeAustralian Stock Exchange
The Australian Securities Exchange was created by the merger of the Australian Stock Exchange and the Sydney Futures Exchange in July 2006. It is the primary stock exchange group in Australia....
following on 13 July 1989. The first chairman of the bank was Christopher Stewart, who chose Australian actor Jack Thompson
Jack Thompson (actor)
Jack Thompson, AM is an Australian actor and one of the major figures of Australian cinema. He was educated at University of Queensland, before embarking on his acting career. In 2002, he was made an honorary member of the Australian Cinematographers Society...
to head the bank's TV advertising campaign, which ran for a decade.
The bank focused operations on retail banking
Retail banking
Retail banking is banking in which banking institutions execute transactions directly with consumers, rather than corporations or other banks. Services offered include: savings and transactional accounts, mortgages, personal loans, debit cards, credit cards, and so forth.-Types of...
, with a branch network and operations focused on the state of Victoria
Victoria (Australia)
Victoria is the second most populous state in Australia. Geographically the smallest mainland state, Victoria is bordered by New South Wales, South Australia, and Tasmania on Boundary Islet to the north, west and south respectively....
. As a former building society
Building society
A building society is a financial institution owned by its members as a mutual organization. Building societies offer banking and related financial services, especially mortgage lending. These institutions are found in the United Kingdom and several other countries.The term "building society"...
, the bank was also heavily involved in lending in the residential property market. In 1996 the bank acquired the Victorian business of Challenge Bank from Westpac for A$659.7 million, making the Bank of Melbourne the fourth largest regional bank, and the eighth largest of all listed banks in Australia. By this time the Bank of Melbourne also held 9.6% of the Victorian lending market, 11.6% of the Victorian deposit market, and operated a network of 125 branches, predominantly in Melbourne.
Takeover
On 3 April 1997 Westpac made a $1.43 billion bid to acquire the Bank of Melbourne. At the time Westpac had a branch network almost twice as large in Victoria as the Bank of Melbourne (212 branches) but a smaller share of the local lending and deposit markets (8.6% and 9.1% respectively).The proposal required the approval of the Australian Competition and Consumer Commission
Australian Competition and Consumer Commission
The Australian Competition and Consumer Commission is an independent authority of the Australia government. It was established in 1995 with the amalgamation of the Australian Trade Practices Commission and the Prices Surveillance Authority to administer the Trade Practices Act 1974...
(ACCC), the Reserve Bank of Australia
Reserve Bank of Australia
The Reserve Bank of Australia came into being on 14 January 1960 as Australia's central bank and banknote issuing authority, when the Reserve Bank Act 1959 removed the central banking functions from the Commonwealth Bank to it....
(RBA) and the Treasurer of Australia
Treasurer of Australia
The Treasurer of Australia is the minister in the Government of Australia responsible for government expenditure and revenue raising. He is the head of the Department of the Treasury. The Treasurer plays a key role in the economic policy of the government...
; these being given by July 1997. On 29 September 1997 a vote was held for ordinary Bank of Melbourne shareholders to approve the proposal, with over 96% approving the takeover. Westpac retained the rights to the Bank of Melbourne name and logos, and operating in Victoria under the Bank of Melbourne brand until January 2004, when Westpac moved all operations to a single national brand name.
In 2009 speculation suggested Westpac was to relaunch the brand for a new internet-based deposit business, but with no resulting action until July 2011, when the Bank of Melbourne commenced operations
Bank of Melbourne (2011)
The Bank of Melbourne is a financial institution operated in Victoria, Australia. A subsidiary of the major Australian bank Westpac, it commenced operations on 25 July 2011....
as a subsidary of Westpac.