Super funds Hostplus and Club Super have announced that they are holding talks about a merger. The news comes just days after MTAA Super and Tasplan revealed that they are working on a merger.
Hostplus and Club Super have entered into a memorandum of understanding to formally pursue discussions and undertake due diligence.
In a joint statement, the funds said they had a common focus, serving the hospitality, tourism, recreation and sporting sectors. This gives them a “strong alignment”.
Hostplus has over 1.2 million members, 180,000 employers and $42 billion of funds. Club Super has 22,000 members, 4600 employers and $560 million of funds.
Hostplus chief executive David Elia says: “We look forward to working with Club Super through this phase, during which our funds’ members and their employers will continue to receive the same high quality service and outcomes they have come to expect of us.”
MTAA Super and Tasplan have also entered into a memorandum of understanding to investigate a merger. MTAA Super serves the motor trades and allied industries, while Tasplan is a multi-industry fund.
MTAA Super has close to $13 billion of funds and Tasplan has $9.5 billion.
All parties say they are aiming to deliver efficiencies that can be passed on to members in the form of improved products and services, and competitive fees and returns.
Super funds are under pressure to cut costs and demonstrate better member outcomes.
Last week, Statewide Super said it would not pursue plans to merge with Tasplan and WA Super, saying it would look for other opportunities.