AvSuper has signed a Memorandum of Understanding (MOU) with CSC, which means that both funds will now commence due diligence on each other to determine if a merger is in the best interest of members of both funds.
Both AvSuper and CSC are committed to ‘serving those who serve’. CSC has a 100-year history of providing superannuation services to current and former Australian Government employees and Australian Defence Force employees and veterans. AvSuper was formed in 1990 for employees in the Public Service and working for the then Civil Aviation Authority.
As well as sharing a similar heritage, AvSuper members will benefit from CSC’s $60 billion scale in investments.
More operationally, both organisations have strong defined benefit capability, both currently partner with Mercer Administration Services for provision of customer service and administration services, and both organisations partner with AIA Australia for customer insurance.
A merger, which requires Government approval, along with the passage of appropriate legislation through Parliament, is a great opportunity to bring together two super funds who share a common heritage and provide superannuation to those who serve our country.
What happens next?
There are still a number of steps to be undertaken before the merger can go ahead, including:
- Both funds need to perform due diligence to confirm that a merger is in the best interest of members of each fund
- Government approval
- Passage of appropriate legislation through Parliament.
Once the due diligence process has been completed, we will confirm if the merger will take place. If there is agreement to proceed, the merger would most likely take place in mid 2023.
What do I need to do?
Otherwise, you don’t need to do anything. There is still a long road ahead before any merger can take place. We will keep you informed as things progress.