SINGAPORE: Following concerns expressed by the Singaporean government regarding the proposed deal, German insurer Allianz stated on Monday, December 16, that it has withdrawn its offer to purchase a majority position in Income Insurance.
Allianz would have paid roughly S$2.2 billion (US$1.6 billion) for a 51% share in Income under the terms of the proposed agreement. Income’s parent company, NTUC Enterprise, stated at the time that if the sale proceeded, it would continue to have a “substantial” stake in the company.
The agreement, however, caused a public uproar regarding Income’s capacity to carry out its charitable work. Culture, Community, and Youth Minister Edwin Tong informed parliament that the deal in its existing shape “would not be in the public interest” on October 14, prompting the government to intervene and halt the transaction.
However, if the issues raised were adequately handled, the government was amenable to new agreements.”Allianz remains convinced it is the right partner to support Income Insurance’s continued growth and its strategic mission for the benefit of Singapore’s people, but the decision to withdraw its offer at this time underscores Allianz’s financial discipline,” stated the statement.
Also Read:
Thailand and Singapore will Collaborate on food Security and Carbon Offsets
