ANZ's planned $4.9bn acquisition of Suncorp’s banking operations has received the green light, despite ACCC opposition.

The decision by the Australian Competition Tribunal, sets aside the ACCC’s August refusal to authorise the merger, citing a “net public benefit” from the proposed union.

“[The] forecast integration and productive efficiencies from the proposed acquisition constitute real and tangible benefits to the public,” the tribunal said. 

Contrary to the ACCC's concerns, the tribunal found that the merger would not notably diminish competition within the national home loans, agribusiness, or small-to-medium enterprise sectors in Queensland.

Despite the dominance of Australia’s “Big Four” banks, which collectively hold 72 per cent of the banking system's assets, the tribunal determined ANZ’s market share increment post-acquisition would be minimal and not significantly impact competition.

It also found that ANZ’s commitments to agribusiness and more competitive SME services bolstered the merger's appeal.

Shayne Elliott, ANZ’s CEO, described the tribunal’s decision as a “significant milestone”, and said the bank would move to swiftly finalise the takeover. 

Suncorp Group's chair, Christine McLoughlin, echoed this sentiment, highlighting the merger as a “big win for Queensland”, ensuring broader product access and banking career opportunities under ANZ, which has pledged to reinforce Suncorp Bank’s presence in Queensland.

However, the merger's completion still hinges on legislative adjustments by the Queensland state government and federal treasurer approval. 

The tribunal’s decision, while overturning the ACCC’s initial refusal, invites further reflection from the watchdog on merger impacts on banking coordination, as expressed by ACCC chair Gina Cass-Gottlieb. 

“Banking markets are critical for many homeowners, businesses and farmers,” Cass-Gottlieb stated.