New bid for Axa Asia Pacific

Axa, Europe's second-largest insurer, is selling certain divisions of its company. These divisions include Axa Asia Pacific.

The National Australia Bank, Australia’s largest lender, placed a higher bid for Axa Asia Pacific than the local rival AMP. The offer from the NAB is 13.3bn Australian dollar.
Axa Asia Pacific is willing to accept this offer.

Shares in AXA Asia Pacific Holdings fell 3 per cent in opening trade after the Australian Competition and Consumer Commission blocked the bid from AMP.

The next move is for AMP. They can place an even higher offer, or they can lose the deal.

According to analysts, the deal would reduce competition in the domestic retail investment area.
A merge between NAB and Axa could harm the competition in the market for retail investment platforms for investors with complex investment needs.
On the other hand, a merge between AMP and Axa would not have this effect.

Life assurance and pensions companies have been increasingly focusing their attention on Asia as they search for growth beyond the mature markets of North America and Europe. That’s why NAB is willing to pay this large amount of money.

Bram Verstraete

http://news.bbc.co.uk/2/hi/business/8629196.stm