Hostplus and Maritime Super are taking steps to move to a full merger of the two funds.
Hostplus and Maritime Super have entered into discussions to merge the two funds and signed a Memorandum of Understanding (MoU) formalising the talks.
The announcement follows on from an earlier partnership in April last year, when Maritime Super decided to enter into a strategic outsourcing arrangement by moving the management of its $6 billion in assets to Hostplus’ Pooled Superannuation Trust, creating a combined asset pool of over $61 billion.
If the due diligence process is successful, the funds’ trustees will sign a successor fund transfer deed and prepare a transition plan which would see a merger of Hostplus and Maritime Super in early 2023.
“We’re delighted to be extending our strategic investment relationship with Maritime Super to now work towards a merger of our funds,” David Elia, Chief Executive Officer of Hostplus, said.
“We see our already established relationship and the fundamental alignment between our funds – from our similar industry fund values to our dedication and passion for our members, employers, staff and stakeholders – as providing an excellent foundation for a successful merger partnership,” Peter Robertson, Chief Executive Officer of Maritime Super, said.
The announcement of the merger comes as the prudential regulator APRA is stepping up its efforts to consolidate the industry. Earlier this year, the regulator already instructed Energy Industries Superannuation Scheme (EISS) and Christian Super to find merger partners by imposing additional licence conditions on the funds.
In August last year, APRA published a list of 13 funds, whose MySuper option had failed the ‘Your Super, Your Future’ performance test. Of these funds, several have since expressed their intention to merge or invited merger proposals, including Australian Catholic Superannuation and Retirement Fund, AVSuper, Christian Super, EISS, LUCRF and now Maritime Super.
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