(2 October 2024 – Australia) The Australian Prudential Regulation Authority (APRA) has agreed to requests from International Bank of Australia (IBOA) and IBOA Group Holdings to revoke their licences as a restricted authorised deposit-taking institution (ADI) and non-operating holding company (NOHC), respectively.
IBOA had been granted these licences in November 2022 but had yet to launch any products or acquire customers.
Initially backed by ASX-listed Novatti, IBOA faced challenges raising capital and never progressed to product testing. A change in leadership at Novatti in early 2023 shifted the firm’s focus away from the neobank.
In July, Novatti announced the sale of IBOA to Eurus Capital and its clients. The new shareholders determined the neobank was unlikely to proceed to a full licence, leading to the decision to revoke it.
IBOA is the latest neobank in Australia to withdraw from the market and return its licence, following in the footsteps of Xinja, Volt, and Islamic Bank Australia.