Vero seeks clearance to buy Tower

by Mina Martin 06 Mar 2017

Vero seeks clearance to buy Tower

A major insurer has lodged a clearance application to New Zealand’s competition enforcement and regulatory agency to acquire 100% of the shares of a Kiwi insurer.

Vero, New Zealand subsidiary of Suncorp Group Limited, seeks clearance with the Commerce Commission to take a full stake of Tower Insurance, after it acquired 13.2% of its shares.

Want the latest insurance industry news first? Sign up for our completely free newsletter service now.

The commission would determine whether the merger would result in a substantial loss in competition in the market.

Also vying to acquire Tower is Canadian firm Fairfax Financial Holdings, which offered to buy the company for $197 million, or $1.17 per Tower share.


Related stories:
Suncorp intensifies takeover battle with ‘escalation payment’ agreements
Suncorp CEO is ‘simply wrong’ says insurance academic
Tower takeover battle begins