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Australian Watchdog Questions ANZ $3.3B Suncorp Buyout

By  |  April 4, 2023

The competition regulator in Australia expressed skepticism about ANZ proposed acquisition of a smaller competitor for A$4.9 billion ($3.32 billion), stating that it was uncertain if the deal would provide any public benefits. This news is a setback for one of the largest deals of the year.

The ACCC released a statement expressing their preliminary views that ANZ has not yet provided sufficient evidence to demonstrate that both ANZ and Suncorp would benefit from the acquisition.

Related: Australia Watchdog Rules Against Telstra & TPG Over Mobile Sharing Network

The ACCC is currently reviewing ANZ’s proposed takeover of a large second-tier competitor. Feedback has been received and ANZ may need to provide further explanation regarding the public benefits of the takeover outweighing the loss of a market participant.

According to the regulator, the information given thus far was not enough to support the claimed public benefits and ANZ’s future synergy estimates.