AUB Group's (ASX:AUB) decision to allow EQT to form a consortium with CVC Asia Pacific is consistent with the analyst's view that the industry backdrop remains supportive for mergers and acquisitions, Jarden said in a Monday note.

AUB Group agreed to allow EQT to form a consortium with CVC Asia Pacific after CVC made an unsolicited approach to jointly pursue EQT's AU$45 per share acquisition of the company.

CVC has a history of investing in general insurance businesses, the analysts noted.

The investment firm maintained its overweight recommendation on AUb Group and kept its price target of AU$40.20 per share.