- Dubai's Debt Woes Signal New Era for Creditors
- Fed Audit Would Hurt Economic Prospects: Bernanke
- Next Week: Cash In Now Or Wait For A Santa Rally?
- Dubai Stock Selloff May Bring Buying Opportunity
- Longer Lines, Fuller Carts This Black Friday
- Big US Banks May Be Forced to Raise Capital: Bove
- Bank of America Amends Pay for Senior Executives
- Tiger Woods Out of Hospital After Accident
- The World's Biggest Debtor Nations
- U.S. Stocks Fall on Dubai Worries
- Black Friday at Best Buy
- Strategists on Dubai: Avoid 'Rash Moves' Now
- Longer Lines, Fuller Carts This Black Friday
- Dubai Stock Market Fear Has 'Legs': Dennis Gartman
- Obama's Emission Reduction Pledge Paints Future for Autos
- Is Super Bowl Halftime Act Too Old?
- Surprising Options Trades in TiVo Shares
- EA Sports Hopes to Pump Up Sales Through Pop-Up Locations
Text Size 
Australian insurer AXA Asia Pacific rejected on Monday a $10.3 billion break-up plan that would leave its Australian assets with rival AMP and its Asian assets with French parent AXA.
 |
Under the plan proposed by AMP and Paris-based AXA, AMP would buy all of the shares in AXA Asia Pacific, including the parent's 51 percent stake, and then sell AXA Asia Pacific's Asian assets back to the French parent for an undisclosed price.
The share and cash offer implied a bid of A$5.43 per AXA Asia Pacific share, valuing the target firm at A$11.2 billion, based on AMP's closing share price on Friday.
AXA Asia Pacific Chairman Rick Allert said the proposal "significantly undervalued" the company.
"The proposal has been received against the backdrop of recent weakness in global financial markets and before the growth of our Asian operations is fully reflected in our profitability," Allert said in a statement.
AMP is offering 0.6896 of its own shares plus A$1.3796 in cash for each AXA Asia Pacific share.
AMP said in a separate statement the proposal would value the Australian and New Zealand assets of AXA Asia Pacific at around A$4 billion, based on AMP's closing share prices on Thursday.
AXA is being advised by Macquarie Group.
AMP is being advised by UBS, a source familiar with the advisory arrangements said.
- These four sectors will be the next to lead the market.
- Zhu Zhu Pets are this year's must-have toy, fetching $40 or more on eBay.
- From the why-didn’t-I-think-of-that file, we present Jason Sadler, a man whose job is wearing T-shirts.
- It may be the most unusual guide to business you'll read.
- Shopping for a gadget hound? The choices can be baffling. Here are a few that should be a hit.
- "The Who" will be the halftime act for Super Bowl XLIV on Feb. 7 in Miami. Is the NFL behind the times?
Data is a real-time snapshot *Data is delayed at least 15 minutes