Australian Unity denies float speculation

Australian Unityacting group managing director Murray Campbell has reacted angrily to a report in the financial press yesterday on speculation that Australian Unity was looking at a joint-float with strategic ally, IMB.

Labelling the the speculation ridiculous, Campbell says, “It is totally unfounded. I have no idea where this information came from, certainly not these offices.”

“[Former managing director] Mark Sibree consistently said there were no plans to demutualise, and nothing has changed since then.”

However, Campbell admits that when the company has its strategy meetings, once or twice each financial year, the topic of demutualisation is discussed by the board members.

“While we haven’t wiped it completely, there’s never been any step made towards it, nor will there be in the short term,” he says.

Asked why it angered him to have such speculation reported in the financial press, Campbell says it’s not so much that it’s damaging to business, but more to the reputation of recently departed director Mark Sibree, who had ruled out demutualisation of the health mutual.

“Sibree left on good terms. I’m very concerned that his reputation has been sullied by this sort of comment,” Cambell says.

“This goes against all the consistent comments that were made to the media over the past few years on this subject.”

Australian Unity was formed in 1993 and has member funds of $150 million under administration, and made a profit last year of $43 million.