TSB boss Kevin Murphy to depart in January, board starts hunt for his replacement
By Paul McBeth
Nov. 8 (BusinessDesk) - TSB Bank chief executive Kevin Murphy will leave the New Plymouth-based, community-owned lender
at the end of January after nearly a decade in charge of New Zealand's sixth-biggest lender.
The board has started its search to find a replacement for Murphy, but doesn't expect to complete that before he leaves
on Jan. 31, 2018, the bank said in a statement. Deputy chair Murray Bain, a former Reserve Bank assistant governor, will
act as interim managing director to tide the lender over.
“Mr Murphy has for some time signalled to the Board his intentions. However, he has put that to one side in the
interests of the business, to assist with TSB Community Trust’s acquisition of Fisher Funds and to complete TSB’s recent
rebrand," chair John Kelly said. "This reflects the dedication and passion for TSB and the community that he is known
for."
In August, TSB owner TSB Community Trust exercised its right to buy out co-shareholders in Fisher Funds having initially
taken a 26 percent stake in 2013 through the bank and later lifted that holding to 49 percent. The lender subsequently
sold a quarter of the fund manager to US private equity firm TA Associates with the intention of that stake rising to 34
percent once various approvals were completed.
TSB reported a 25 percent fall in annual profit to $46.3 million in the 12 months ended March 31 in an increasingly
competitive environment where low interest rates squeezed lender's margins. Still, the bank has continued to expand its
loan book and had total assets of $6.95 billion as at June 30, making it the largest among the second-tier of lenders.
(BusinessDesk)