National Australia Bank Ltd. said today that it has agreed to approve the pricing components of its takeover target AXA Asia Pacific Holdings Ltd. NAB gave a proposal to buy AXA Asia Pacific Holding's undertakings in New Zealand and Australian for $A4.6 billion.

However, the bank said that it will acquire the Australasian businesses of AXA Asia Pacific Holding excluding its liability amounting to $A700 million.

In a statement released today, the bank said that the buyout will be based on a consideration of $A6.43 per share. According to deal, AXA SA will purchase the Asian businesses of AXA APH for $A9.4 billion. After that AXA APH Australia & NZ will repay the loan of $A0.7 billion to AXA SA.

NAB said that it will therefore acquire the Australasian businesses of AXA APH without debt. AXA APH confirmed the proposal of NAB to obtain 100% of AXA APH prior to trade the Asia businesses to AXA SA.

Earlier in the week, AMP released its results for full year 2009. AMP reported underlying profit of $A772 million in FY 2009, decreasing by 5% while compared to the previous corresponding period. Net profit attributable to shareholders was reported to $A739 million, increasing by 27% when compared to the full year 2008.