MEDIA RELEASE
FOR IMMEDIATE RELEASE
Transport Mutual Credit Union Declines Proposed Share Sale in Cuscal Ahead of Its Planned IPO
Sydney, October 9th, 2023 –Transport Mutual Credit Union (TMCU), has announced its unanimous decision not to participate in the proposed voluntary sale of 50% of its shares in Cuscal.
Cuscal was created by the Australian credit union movement in 1997, and today remains a renowned wholesale service and payments provider to the majority of Australian credit unions. It has suggested the proposed voluntary sale to all existing shareholders ahead of its upcoming Initial Public Offering (IPO).
"We're wary of the shift that might ensue post-IPO, a shift that could see our customers ultimately facing increased costs and a potential dilution of the very values that set credit unions apart," TMCU CEO John Kavalieros said.
“We believe introducing a new class of stakeholders through an IPO could potentially challenge Cuscal's longstanding dedication to mutual values.
”The core strength and advantage of Cuscal's service delivery over the decades have been its unwavering focus on mutual values, resulting in benefits for Credit Unions and their members alike.
“Introducing a new class of stakeholders, driven by different priorities, could jeopardise this dynamic.
“TMCU has been a committed shareholder in Cuscal, relying on its services to access the payments network and to issue products under license such as Visa cards.
“This enduring partnership is grounded in mutual values and a shared commitment to serving and benefiting the broader Credit Union community and its members.
"Our primary commitment remains with our members, ensuring they continue to receive the best products and services, and value," adds John Kavalieros.
"Our decision is in alignment with that commitment and the values we've upheld over the years. We remain committed to being a values-driven organisation with the interests of its members always the highest priority.”
About TMCU:
TMCU is an industrial based Credit Union, committed to providing financial services that uphold mutual values and benefit its broad member base since its inception in 1964. With a strong history of community engagement, TMCU continually seeks to make financial decisions that prioritise its members.
Media Contact:
Daniel McDougall
Media and Communications – McDougall Media
daniel.mcdougall@mcdougallmedia.com.au
0407 637 541