ANZ insisted yesterday it was focused on expanding its wealth management business organically, as AMP eyed a potential equity tie-up as a means of retaining its independence.
BusinessDay this week revealed that AMP was considering a $4 billion proposal to sell ANZ a controlling stake in return for the bank transferring ownership of its ING wealth management, life insurance and advice businesses as part of a scrip-based deal.
The proposal could give ANZ 30 per cent of AMP. No official talks have taken place between the two companies.
''At present our sole focus is on integrating ING and organic growth,'' a spokesman for ANZ said.
A spokeswoman for AMP declined to comment.
It is believed the plan has been touted as a fallback option for AMP to prevent it being singled out as a takeover target after the lapse of its bid for AXA Asia-Pacific.
ANZ has previously been named as the most likely candidate to launch a bid for AMP, although this would distract chief executive Mike Smith from his ambitions to expand into Asia.
Mr Smith is scheduled to brief investors this morning on the bank's first-quarter performance.
Axiome Equities analyst Brett Le Mesurier said AMP would deliver greater scale for ANZ's wealth business and much more distribution.
''But the issue it faces is the potential earnings-per-share dilution and the low return on equity associated with the acquisition,'' he said.
