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US Private Equity Firm Stalks Australian Banking Group - Report

Vanessa Doctor

7 August 2009

New York private equity firmJC Flowers & Co is interested in buying the assets of Queensland banking and insurance groupSuncorp-Metway, a group involved in businesses including wealth management, The Australian said.

The news comes shortly before Patrick Snowball begins his stint as chief executive officer on 1 September at the Australian firm.

Citing unnamed senior executives, the publication said that JC Flowers has had a "serious look" at Suncorp's portfolio, causing the company's shares to rise 4.7 per cent on the Australian Stock Exchange to A$8 ($6.72).

Suncorp's banking and wealth management unit is valued at between A$3 billion ($2.5 billion) and A$5 billion. It is Australia's fifth largest bank and third largest insurer.