Axa and NAB close on terms

National Australia Bank and Axa SA may have reached agreement over the principles, but not the detailed terms, of NAB's plans to buy Axa Asia Pacific and to then offload the Asian business to its French parent, Bloomberg reported.

The proposed deal leaves NAB as owner of the Australian and New Zealand businesses of Axa AP. Axa Asia Pacific has endorsed NAB's offer, which will cost the bank around $4.6 billion if all minority shareholders in Axa accept the cash offer.

Documentation of the agreement between NAB and Axa SA is likely by the third week of March, Bloomberg reported, and several weeks later than the two parties planned.

NAB has been free to negotiate with Axa SA since early this month following the expiry of an earlier agreement by Axa SA to deal only with AMP Limited. AMP has made its own, earlier offer for Axa that failed to secure the support of the Axa board.