The ACCC has given the green light to IOOF’s (ASX:IFL) proposed acquisition of MLC Wealth Management.
The competition watchdog says that while IOOF and MLC both supply wealth management solutions in Australia feedback from customers financial advisers and other industry participants suggested that this deal would not be likely to substantially lessen competition.
The ACCC’s review indicated that, post-acquisition, IOOF would be competing with and constrained by several other large firms along with a number of smaller firms for the supply of retail platforms
The regulator says despite the profile and size of this transaction, it does not raise concerns under section 50 of the Competition and Consumer Act largely due to the fragmented nature of most of the relevant markets and strong constraints from remaining competitors.
Shares in IOOF (ASX:IFL) are trading 0.8 per cent higher at $3.66