ACCC Approves IAG’s Acquisition of RACQ Insurance

Insurance Australia Group Limited ( (AU:IAG) ) has shared an update.

The Australian Competition and Consumer Commission (ACCC) has decided not to oppose IAG’s proposed acquisition of RACQ Insurance Limited (RACQI), as the acquisition is unlikely to significantly reduce competition in the insurance market. The ACCC’s investigation found that RACQI has been losing market share and faces challenges in maintaining competitiveness due to higher natural hazard risks and limited capital access. The acquisition is not expected to impact the markets for smash repair, windscreen repair and replacement, and building repair services due to IAG’s market position relative to other insurers.

The most recent analyst rating on (AU:IAG) stock is a Hold with a A$6.60 price target. To see the full list of analyst forecasts on Insurance Australia Group Limited stock, see the AU:IAG Stock Forecast page.

More about Insurance Australia Group Limited

Insurance Australia Group Limited (IAG) is a general insurance company operating in Australia and New Zealand, offering a range of personal and commercial insurance products under various brands such as NRMA Insurance, Swann Insurance, ROLLiN’, Cylo, and Lumley Special Vehicles. IAG also underwrites insurance products and distributes them through agreements with third-party brands like Bendigo and Adelaide Bank, People’s Choice Bank, ANZ, and Coles. RACQ is a Queensland-based member-owned organization providing roadside assistance, insurance, banking, and member/community services, with its insurance products issued through its subsidiary RACQI.

Average Trading Volume: 5,034,015

Technical Sentiment Signal: Buy

Current Market Cap: A$20.27B

Learn more about IAG stock on TipRanks’ Stock Analysis page.