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.
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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.
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