TIMELINE
German insurer Allianz withdrew its offer last December to acquire a majority stake in Income Insurance after the government stepped in to block the transaction over concerns that it would not be able to continue its social mission. Income, a former co-op, was corporatised in 2022. In doing so, it sought to be exempted from Section 88 of the Co-operative Societies Act, which allowed it to carry over approximately S$2 billion in surplus to the new corporate entity, said the minister. The proposed capital reduction in the Income-Allianz deal “runs counter” to the premise for why the exemption was given, Mr Tong said in October. The government said it was open to new arrangements if the concerns highlighted were fully addressed. Allianz said at the time that it would consider revising the deal, but eventually decided not to go ahead. MAS reiterated on Monday that on Jul 17, 2024, Allianz made a pre-conditional voluntary cash general offer to acquire at least 51 per cent of the shares in Income, subject to regulatory approval. In order to make this pre-conditional voluntary cash general offer, Allianz and NTUC Enterprise had received approval from MAS under section 27(2) of the…