The Supreme Court has approved the Schemes of Arrangement for the restructuring of Victoria Mutual Building Society (VMBS) and its subsidiaries.

 

The order was issued on Thursday, November 24.

 

The restructuring will see the establishment of a new financial holding company, VM Financial Group Limited and a non-financial holding company, VM Innovations Limited.

 

Both companies will be held under a mutual holding company to be called VM Group Limited.

 

The group says the Schemes of Arrangement will enhance its ability to raise capital and fund its growth targets.

 

VM Group continues to be wholly-owned by its members.

 

The Scheme is being implemented to ensure compliance with the Banking Services Act, which requires a corporate group that includes both financial and non-financial businesses to be reorganised by separating the financial and non-financial companies.