Income-Allianz deal timeline: A recap of the proposed S$2.2 billion sale
Here is a recap of what happened:
Jul 17, 2024: Allianz offered to buy a majority stake in Income Insurance for around 1.5 billion euros, or S$2.2 billion.
Allianz said it would offer S$40.58 per share for 51 per cent of the shares in Income Insurance. The German insurer projected that Income could return some S$1.85 billion in cash to its shareholders within the first three years after the transaction's completion.
At the time, 72.8 per cent of Income was owned by National Trades Union Congress (NTUC) Enterprise Co-operative Limited, with the rest held by institutional and retail investors.
Income had been a public non-listed company limited by shares since a 2022 corporatisation exercise that transformed the insurance business of NTUC Income Insurance Co-operative into Income Insurance.
Jul 23-Aug 5, 2024: The deal raised questions over whether the proposed sale would be at odds with NTUC labour unions' aim to provide affordable insurance.
On Jul 30, NTUC Enterprise said that Income's social enterprise model alone is not sufficient to shoulder growth in Singapore's competitive insurance environment.
On Aug 5, NTUC's secretary-general Ng Chee Meng and president K Thanaletchimi released a joint statement explaining that Income needed adequate capital to remain financially stable. 'As a shareholder, NTUC Enterprise will continue to support Income. But it cannot do so alone,' they said.
Aug 6, 2024: The issue was debated in Parliament, with Members of Parliament raising questions about the affordability and accessibility of insurance for the mass market.
The Monetary Authority of Singapore (MAS) expected Income to fulfil its obligations to all policyholders under the terms of its existing insurance contracts and would hold Income and Allianz to these commitments, said Second Minister for Finance and MAS board member Chee Hong Tat in Parliament.
Chee also said that MAS' regulations and guidance require insurers to maintain sufficient capital reserves and treat customers of participating policies fairly.
After Aug 6, 2024: The Ministry of Culture, Community and Youth (MCCY) continued with due diligence and inquired further into the proposed deal. MAS provided the ministry with more details including Income's capital optimisation plan, as the regulator felt it could be relevant to the ministry's views on the deal. MCCY had not seen this information earlier.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Sign Up
Sign Up
Oct 14, 2024: The Allianz-Income deal was called off in Parliament, as the Singapore government assessed that it was 'not in the public interest' for the proposed transaction to proceed in its form.
'Our concern is only over the terms and structure of this specific transaction, particularly in the context of the preceding corporatisation exercise,' said Culture, Community and Youth Minister Edwin Tong in a statement. The government was still open to any new arrangement which Income may wish to pursue, whether with Allianz or other partners, as long as the concerns were fully addressed, he added.
In a Facebook post, Prime Minister Lawrence Wong also said that the government's concerns were over the structure and terms of the offer, but that it remained open 'to a new deal that Income may pursue with Allianz or other partners, so long as our concerns are fully addressed'.
Oct 16, 2024: Parliament passed an amendment to the Insurance Act, requiring MAS to consider MCCY's views when approving transactions involving insurers with cooperative roots.
NTUC deputy secretary-general Desmond Tan revealed that NTUC's central committee was unaware of the capital extraction plan until Oct 14.
Nov 14, 2024: Income and Allianz said in a bourse filing that discussions over the deal for a majority stake acquisition in the Singapore insurer were still ongoing, even after the government veto.
Dec 16, 2024: Allianz officially withdrew its offer for a stake in Income, citing respect for the Singapore government's decision and emphasising its financial discipline.
Both Income and NTUC Enterprise acknowledged the withdrawal and mentioned that they will explore other options to strengthen the insurer's financial resilience.
Apr 26, 2025: Workers' Party (WP) chief Pritam Singh resurfaced the failed Income-Allianz deal at the party's second election rally, saying that no People's Action Party (PAP) labour MP had filed questions or spoke during the debate in Parliament when the issue was tabled.
'Elected PAP MPs who champion NTUC... should fight hard in Parliament when NTUC issues are raised, particularly issues that Singaporeans are concerned about,' Singh said.
Apr 27, 2025: Labour chief Ng, who stood as a candidate for Jalan Kayu SMC, addressed at a PAP rally how the Allianz-Income deal was done in 'good faith' and complied with legal regulations.
'In NTUC, we will do our best, and sometimes I'm sorry that it's not good enough. But we will learn the right lessons and we will do better,' he said.
Apr 27, 2025: Senior Minister Lee Hsien Loong said that he did not blame Ng or the labour party for the Income-Allianz deal that fell through. In a PAP rally speech, he flagged how the WP had abstained from voting on a Bill to amend a law that would allow the government to block the deal.
Apr 28, 2025: Speaking to media, Singh said that SM Lee sidestepped the point he had raised about the absence of PAP labour MPs weighing in on the matter. While six PAP MPs and one WP MP had raised questions, the ratio of PAP MPs to WP MPs was about nine to one, he explained.
Apr 28, 2025: At a WP rally, Harpreet Singh, who was a candidate in the party's Punggol GRC team, sought accountability from the PAP regarding Deputy Prime Minister Gan Kim Yong's involvement in the Income-Allianz deal.
Apr 29, 2025: MAS chairman and DPM Gan clarified that the focus of the Income-Allianz deal was on the transfer of ownership and not capital extraction when MAS saw the proposal in July. He spoke on the sidelines of a walkabout in Punggol GRC and addressed the issue alongside the rest of the PAP slate for the constituency. PM Wong was also present.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Straits Times
3 hours ago
- Straits Times
Rallying-FIA announces tender for new WRC promoter
Sign up now: Get ST's newsletters delivered to your inbox Formula One F1 - Monaco Grand Prix - Circuit de Monaco, Monaco - May 22, 2025 General view of the FIA logo ahead of the Monaco Grand Prix REUTERS/Stephanie Lecocq/File Photo Motorsport's governing body announced on Thursday a tender process to replace Red Bull and German investment company KW25 as commercial rights holders of the World Rally Championship (WRC). The International Automobile Federation (FIA) said JPMorgan would act as financial advisor to Red Bull and KW25, who jointly own Munich-based WRC Promoter GmbH -- the commercial arm responsible for media, sponsorship rights, and television production. The promoter, which also oversees the European Rally Championship, took over the WRC rights in 2013 and still had seven years remaining on the contract, according to sources. Reuters reported a year ago that the owners were preparing a potential sale with a target valuation of up to 500 million euros ($581 million). The WRC has been in existence since 1973 and this year features 14 rounds on different continents with the showcase Monte Carlo Rally opening the season in January. "The tender process for the commercial rights holder is a big opportunity for a new enterprise to take the championship into its next chapter with renewed energy and investment," said the FIA's deputy president for sport Malcolm Wilson. "We will work with Red Bull and KW25 to find the best fit for this important role." Top stories Swipe. Select. Stay informed. Singapore Courier tip-off leads to HSA seizure of Kpods, drugs in Tampines and Grange Road raids Singapore Large flocks of parakeets a spectacle in Choa Chu Kang, but they may affect native species Singapore Singapore students shine in Paris with record medal haul at history Olympiad Singapore Teacher charged over allegedly making student undress in video call, sending her his nude photo Singapore Painting by police NSF presented to Shanmugam to commemorate 50 years of Police National Service Business 8 more active ETFs by JPMorgan Asset Management available to Singapore investors Business Changi Travel Services cuts 30 staff amid market shifts Asia HK water scandal: How distrust over China bottled water sparked a probe into govt contract The FIA said the championship had surged in popularity with a cumulative television audience of 1.3 billion and more than four million on-site visitors in 2024, with huge further growth potential. Paraguay makes its debut hosting a round of the championship this weekend and the sport is looking into a future round in the United States. "I am confident that, together with the right partner, we can take the championship to the next level, preserve its proud heritage, and grow its global reach for generations of fans to come," said FIA president Mohammed Ben Sulayem. REUTERS
Straits Times
9 hours ago
- Straits Times
Berlin courts tourists as Paris and Barcelona tire of the crowds
Sign up now: Get ST's newsletters delivered to your inbox A woman takes a photo of the Brandenburg Gate with her mobile phone in Berlin, Germany, August 15, 2025. REUTERS/Annegret Hilse BERLIN - As many southern European cities grow tired of tourists, Berlin is pitching itself as an antidote to the crowds, blistering heatwaves and anti-tourism protests causing problems elsewhere. The German capital is promoting its cutting-edge art scene, Prussian palaces and famed techno clubs to boost a tourism sector that has lagged behind the post-pandemic boom seen in other parts of Europe. "We really don't have a problem with overtourism," said Christian Taenzler, spokesperson for the VisitBerlin tourism board. "The city is large and people spread out. Especially in summer, when Berliners are away, there's quite a lot of space." Berlin - home to about 4 million people - drew 5.9 million visitors in the first half of the year, accounting for 13.9 million overnight stays, according to the Berlin-Brandenburg statistics office. That marks a fall of 1.8% and 2.9% respectively from a year earlier. Hotel occupancy averaged 52.8% during the same period, lagging Madrid's 65% and 79% in Paris, cities where tourism has rebounded more quickly since the COVID-19 pandemic. In 2019, before the pandemic, Berlin drew nearly 14 million tourists, with 34 million overnight stays. Tourism generated 4.6% of Berlin's output in 2023, including indirect effects, according to the estimates of a DIW Econ study. Top stories Swipe. Select. Stay informed. Singapore Singapore Parliament releases seating plan for 15th term: Find out who is sitting where Singapore Courier tip-off leads to HSA seizure of Kpods, drugs in Tampines and Grange Road raids Singapore District judge signals sterner penalties for vaping offences, cites public concern Singapore S'pore students shine in Paris with record medal haul at history Olympiad Singapore 3 people taken to hospital after fire at Bukit Purmei flat Singapore Playing down Tuaspring's energy business the core of Hyflux's investor relations strategy: Defence Singapore Alleged vape seller faces new charge after he was found with more than 190 Kpods Singapore Police looking for car driver after hit-and-run incident with lorry in Kallang In comparison, tourism accounts for roughly 14% of the local economy in Paris and Rome, and 8% in Madrid, and Berlin is more reliant on cost-conscious German travellers. Meanwhile, international arrivals fell by 4.7% in the first half. CLIMATE TRENDS Some tourist boards hope climate trends will shift demand north in the years to come. A European Commission Joint Research Centre study found heatwaves are making southern destinations less attractive in peak summer. "While this theme may well emerge over the coming years, there is little evidence of it so far," said Adrian Prettejohn, Europe economist at Capital Economics, noting that so far there has been only a shift to the off-peak season. Taenzler said Berlin - where maximum summer temperatures are normally about 25 degrees Celsius (77 degrees Fahrenheit) - should appeal to tourists seeking cooler climes. "We are a very green city, with a lot of water and swimming options, and a lot of shade ... I think that will gain in importance in the future," Taenzler said. Industry figures blame weaker international visitor growth partly on Berlin's new airport, BER, which opened in 2020. In 2024, BER passenger numbers rose 10.4% to 25.5 million, well below the 35.7 million handled by the former Tegel and Schoenefeld airports combined in 2019. "Recovery in passenger volumes is just under 85% for Germany," said Ralph Beisel, head of the ADV airports association. Low-cost carrier Ryanair said in August last year it would cut flights at BER by 20%. Ryanair's DAC CEO Eddie Wilson has repeatedly complained about taxes, noting that Berlin's airport has capacity for 50 million passengers. Despite higher airfares, Berlin's restaurants, hotels and attractions remain relatively affordable. "Prices in Berlin are absolutely moderate," said Jan Philipp Bubinger, managing partner of the Staendige Vertretung restaurant. Some people blame Berlin's disappointing tourist numbers on months of negative headlines about cutbacks in the cultural sector, traditionally one of its biggest draws. Berlin's government wants to cut about 130 million euros from the 2025 culture budget. "What's being done here is catastrophic budgeting," Greens lawmaker Julian Schwarze said. "If the impression arises that culture is being lost, then I'll save myself the trip to Berlin." REUTERS
Straits Times
2 days ago
- Straits Times
Wary US diners shun restaurants, raising prospect of boost for supermarkets, food-delivery firms
Sign up now: Get ST's newsletters delivered to your inbox Visits to grocery stores have steadily outpaced those to restaurants and bars in the US. WASHINGTON – Cash-conscious consumers in the United States choosing to eat in rather than dine out have raised the prospect of an upturn in earnings for supermarkets and food delivery firms, according to data, analysts and company executives. US President Donald Trump's tariff policies have added to economic uncertainty, increased the likelihood of stubborn inflation and made consumers question whether restaurants are worth the expense. 'I eat much more at home because first of all eating out is way more expensive lately, and quality is not always guaranteed,' Ms Marilena Graziano, a Florence-based teacher, told Reuters. Dutch retailer Ahold Delhaize, owner of the Food Lion and Giant stores in the United States, said earlier in August that it was increasing its offers tailored to low-cost eating in. 'We have solutions for customers to have a very affordable meal of US$2.50 (S$3.20) per person at home with the family,' Ahold's chief executive Frans Muller said in an interview in August . 'We have increased a lot of that proposition in our stores.' The shift hints at a revival of the boom in eating at home during the Covid-19 pandemic when people could not go out. Home delivery companies such as Just made record sales, although they struggled once lockdown restrictions were lifted. Figures from Rabobank and Eurostat show that food retail sales volumes adjusted for inflation in supermarkets, hypermarkets and similar stores grew by 1.5 per cent in the Eurozone between January and May. That compares with 0.1 per cent growth over the same period in 2024 . For food and beverage services, such as restaurants and bars, the metric fell by 0.3 per cent. Growth in 2024 was flat at 0 per cent. Restaurants lag The inflation-adjusted figures suggest that sales at supermarkets are recovering faster than at restaurants, especially for routine weekday meals, Rabobank's consumer foods sector analyst Maria Castroviejo told Reuters. Ms Castroviejo cited the rising popularity of grab-and-go meals, salads, wraps, and sandwiches. 'This offer has increased and improved a lot and we know that this is taking away some demands from certain foodservice players,' she said. Delivery Hero, which owns Glovo and Foodpanda, said that consumers go out less during times of economic hardship, but will order in as a cheaper alternative. A survey of more than 5,000 US adults commissioned by Hellofresh, a German meal-kit maker that makes most of its revenue in North America, showed 93 per cent of them expect to cook as much as in 2024 or more in 2026 . Among those who plan to cook more at home in 2026 , more than three-quarters say the economy is a factor. Visits to grocery stores have steadily outpaced those to restaurants and bars in the US, data from foot traffic tracking firm showed. The data showed visits to grocery stores grew by 1.3 per cent year-on-year in June, while they fell 0.4 per cent in the same months for restaurants. Ms Jenny Russmann, who works for an international organisation in Vienna, is among those using supermarkets more. 'I switched to eating at home a bit over a month ago due to wanting to just be healthier and especially also costs,' she said. In Milan, Ms Chiara Schiavoni, employed at the regional administration, said she prefers to eat at home as prices rise and restaurants' portions shrink in Italy's financial capital. 'I get €7 (S$10.50) food vouchers at work and I can't even buy a sandwich, which costs around €9 in restaurants around my office,' she said. 'On the other hand, I can use them in supermarkets where all in all it's more convenient.' REUTERS
