Bank of Queensland (BOQ) today announced that the Bendigo Bank (BEN) Board had rejected a revised informal proposal for the merger of the two banks.
The revised proposal included an all cash option as an alternative to shares in the merged entity.
On April 24 Bendigo Bank rejected a formal merger proposal from BOQ presented on March 19, 2007.
The Board of BOQ will no longer seek a merger of the two banks and will pursue its existing strong organic growth strategy as well as strategic acquisitions as opportunities occur.
BOQ Chairman Neil Roberts said: “The failure of the talks with Bendigo Bank is disappointing.
“We believe a merger made a lot of sense. Our proposal in March followed two years of informal discussions between the two banks.
“BOQ will now focus on other strategic initiatives to grow the bank, in addition to its strong organic growth strategy,” Mr Roberts said.
BOQ today also reaffirmed its previously announced market guidance and is confident of its continued above market growth.