The Australian Competition and Consumer Commission is investigating acquisitions by the owner of Compare the Market that would provide it with approximately 35 per cent of the shares of iSelect.

Innovation Holdings owns about 29 per cent of iSelect, acquired through a series of purchases since 2018, and is seeking to acquire another 6 per cent.

“We are considering whether the completed and proposed acquisitions are likely to substantially lessen competition," says ACCC commissioner Stephen Ridgeway.

"iSelect is a competitor to Innovation Holdings in offering comparison services for a range of financial and energy products to consumers and minority stakes held between competitors can give rise to competition concerns.”

The corporate watchdog says Innovation Holdings acquired its current interest in iSelect without prior consultation. The ACCC is reviewing this matter from an enforcement perspective and has not placed it on the ACCC mergers public register.

“Companies acquiring strategic or potentially controlling stakes in a competitor will continue to attract ACCC scrutiny” Mr Ridgeway says.