AMP has emerged as the likely frontrunner to acquire Axa Asia Pacific Holdings (Axa APH) after the competition regulator’s decision to oppose a rival bid from National Australia Bank (NAB).

The Australian Competition and Consumer Commission (ACCC) last week ruled against the NAB bid but said it would not oppose an acquisition by AMP.

Its decision turned on the likely impact on retail investment platforms and competition, with both Axa APH and NAB considered major players in this area.

The regulator had no such concerns in regard to the insurance, superannuation and banking operations of NAB and Axa APH.

ACCC Chairman Graeme Samuel expressed his concern about the effect of the proposed $13.3 billion proposal of NAB.

“A merger between NAB and Axa APH would result in a substantial lessening of competition in the market for retail investment platforms for investors with complex investment needs,” he said.

“An independent Axa or a merger between AMP and Axa APH would not have this effect.”

AMP welcomed the ruling, but Axa APH did not acknowledge its alternative suitor in its own statement noting the ACCC decision. Instead, it noted that NAB still has six weeks to achieve a “satisfactory conclusion” with the ACCC.

Under the proposal, both AMP and NAB want to buy Axa APH, merge the Australasian businesses with their own operations and divest the Asian businesses to Axa SA, the Paris-based parent of Axa APH.