The Wesfarmers bid for full control of OAMPS is proceeding well. The rural giant controlled 30.48% of the target stock at the end of last week, its holding having risen by almost half over the preceding three days.

Wesfarmers launched its $700 million offer in July – giving investors five months to accept or decline. Late last month, the OAMPS board recommended the offer, saying it represented a substantial premium on the share price. The acceptances have been flowing in ever since and Wesfarmers is confident it will achieve the 90% approval rate it needs to compulsorily acquire the rest.

If successful, OAMPS will be merged into the Wesfarmers Insurance Division, with MD Bob Buckley keeping the broking arm’s business at arm’s length while ensuring the profits flow from both businesses.

He says the combined business will provide greater scale and penetration into specialist areas and should also create broader opportunities for staff on both sides of the transaction.