ANZ Bank dismisses AXA offer

AXA CEO lost interest in bid despite encouraging suggestions from US and Australian investors.

ANZ has ruled out making an offer for AXA Asia Pacific as National Australia Bank is believed to have begun sounding out the corporate regulator to try to rescue its blocked $13 billion bid for the wealth management group.

Despite suggestions from US and Australian investors that AXA AP would make a good fit for ANZ to build up its wealth management presence, the bank's chief executive, Mike Smith, said last week that the company - now the subject of a battle between NAB and AMP - was not in his sights.

BusinessDay believes that an approach from ANZ would have received a positive response from the AXA AP board late last year, given its desire to tease out a higher deal following AMP's initial offer.

But when asked at last week's half-year results presentation whether he was now interested in making a bid Mr Smith replied: "No."

Given that neither Commonwealth Bank nor Westpac have voiced any interest in AXA AP, ANZ's response leaves NAB in a position of trying to cut a deal with the Australian Competition and Consumer Commission.

The alternatives include mounting a legal challenge against the regulator's decision or abandoning the fray altogether.

View the full story in Sydney Morning Herald.