AMP Limited has filled in the fine detail of its new bid for AXA Asia Pacific, confirming that it will result in a full integration of the two businesses with two AXA AP directors being asked to join an enlarged AMP board.
What is more, AMP says it will be a combined business with “financial advice at its heart”.
The AMP offer is currently being considered by AXA AP’s independent directors and, while subject to further consideration by the regulatory authorities, is expected to be approved on the basis of the earlier examination of National Australia Bank’s failed bid for AXA AP.
The company said it had already received confirmation from the Australian Competition and Consumer Commission that it would not oppose the transaction with similar views being expressed by the New Zealand competition regulator.
Commenting on the renewed bid late yesterday, AMP chief executive, Craig Dunn (pictured) said it clearly met AMP’s stated mergers and acquisitions criteria in representing common sense and an excellent strategic fit.
“The combined businesses would see AMP become the leading wealth management company in one of the world’s most attractive wealth management markets, which is expected to more than double over the next decade,” he said.
Dunn said a successful merger would see AMP holding the number one market position for risk insurance, retail superannuation and retirement income in Australia.
“We would use the strengths that both companies bring, including over 2,900 aligned financial planners and relationships with a further 6,500 independent financial advisers to build a financial services company with financial advice at its heart,” he said.
Shareholders in the two companies are expected to vote on the proposal during the first quarter of next year.
