The debate about a possible merger between Lollands Bank and Møns Bank has made headlines in recent days. First, the director of SJF Bank, Lars Petersson, announced that he would like to see the two banks merge - with SJF as a friendly main shareholder. Shortly after, Møns Bank's director, Per Sjørup Christiansen, rejected the idea and emphasised the bank's independent growth strategy.
Now there is also a reaction from Lollands Bank.
- I really have no comments on it. We are fully focused on our local strategy and our own business, which we can see is working. We have growth in all the important areas, says CEO Allan Aaskov.
This clearly shows the picture: SJF Bank wants consolidation, while both local banks stick to independent strategies.
Makes good sense
Lars Krull, senior advisor and banking expert at Aalborg University Business School, assesses that a merger can make good sense, but ultimately it is about willingness.
- It makes good sense for them to merge. But these are two solid and well-run banks that are doing well on their own. So there must be a willingness on their part to do it if it is to happen, he says.
Krull points out that a merger can create greater shareholder value and give the banks better opportunities to take on large commitments, not least in agriculture. Conversely, he does not see many professional arguments against it.
- At most, it can be someone's pride, he says.
Strong results
Both Lollands Bank and Møns Bank delivered solid results in 2024. Lollands Bank ended the year with a pre-tax profit of 131 million DKK, while Møns Bank was able to present a pre-tax result of 107 million DKK. Both banks point out that their strategies provide a basis for growth.
Thus, the conflict between logic and independence becomes clearer. SJF Bank sees economies of scale, experts point to obvious synergies, but the local banks themselves indicate that they are doing well on their own.
