Silver lining in the scrapping of Allianz’s offer for Income Insurance
Given Income’s relationship with NTUC Enterprise, there is a greater onus on any potential acquirer to account for how the insurer’s capital is deployed
ALLIANZ has scrapped its pre-conditional offer for a majority stake in Income Insurance. This is not a surprise. In fact, it presents a silver lining in three respects.
First, the events that unfolded following the German insurer’s initial announcement of its offer for Income in July have made the playing field much clearer for any other party that may contemplate a bid for Income.
Even though Income was corporatised in 2022, to better enable it to tap capital markets in the future, it is quite unlike any other corporation. Clearly, its heritage as an insurance cooperative with a social mission sets it apart.
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