Farming Bureau Bank has agreed to a $3.9 billion buyout to buy its biggest employer.
Farm Bureau Bank is part of the banking group of Lloyds Banking Group.
It has 2.2 million employees.
Lloyds, the UK’s second largest bank, agreed to the buyout after a $1.6 billion deal last year.
Farm bureau’s chief executive, John Maclachlan, said the buyouts would help the bank attract more and more clients.
“We believe we can do better by our employees,” he said.
“It is also an opportunity for us to attract the best talent and attract more of our employees to LloyDS, which is in our core business.”
Mr Maclochlan said the bank would retain about 100,000 full-time staff.
The buyout of Farm Bureau was announced on Wednesday and was expected to close in September.
The bank, which has 1.9 million employees, is the biggest of the four major lenders.
Loyalty payments are the only means of paying employees who are laid off, and the bank has struggled to retain and motivate employees.
Its biggest customers have been the public sector in the US, with the company owning a quarter of America’s largest employer.
Lifelong Lloydes employee, Mark Worsley, told The Australian Financial Review that the buy-out was a positive for the bank, and he hoped the deal would help keep the bank’s staff strong.
“It’s been a tough few months for us in terms of getting the staff back,” he told the newspaper.
“I think that we’ve got to look at the big picture and try and ensure that we’re getting the right people back in the bank and we’ve been able to do that.”
Mr Worsleys son works for the firm.
Farm bureaus biggest customersUS agriculture companies are among the biggest customers of Farm bureau Bank.
In 2018, Lloydens chief executive Ian Maclagan told the Australian Financial Press that he expected the bank to be the biggest customer for LloyDens customers.
In the US alone, Farm bureau has a market share of less than 1 per cent of the US agriculture industry, according to data compiled by the Federal Reserve Bank.