Court signs off on Marac-led merger, minor parties to stop trading
By Paul McBeth
Dec. 16 (BusinessDesk) – The $2.2 billion Marac Finance merger with two South Island building societies has moved a step closer, gaining court approval.
Marac is looking to combine with Canterbury and Southern Cross Building Societies to create Building Society Holdings Ltd., which will seek a banking licence next year. The court orders allow the merger to go ahead, and the building societies will stop trading at the end of business today.
The merger got its final tick last week when CBS depositors approved the deal.
Pyne Gould Corp.’s Marac unit will hold the majority of the new entity with 72.2%, with Southern Cross Building Society getting 13% of the business and Canterbury Building Society having 14.8%.
Shares in PGC were unchanged at 37 cents, as were CBS stock at $2.85.