Allianz Withdraws Bid for Singapore's Income Insurance

German insurance giant Allianz announced its withdrawal of a $1.63 billion offer to acquire a majority stake in Singapore's Income Insurance. Initially revealed in July, the move to purchase at least 51% of the company would have elevated Allianz to the position of the fourth largest composite insurer in Asia, from ninth. The decision follows Singaporean governmental objections, articulated by Prime Minister Lawrence Wong, focused on protecting affordable insurance access for lower-income workers, a core mission of Income Insurance. Consequently, Singapore amended its insurance legislation, enhancing oversight on acquisitions involving cooperative-linked insurers. Despite the withdrawal, Allianz reaffirms Asia-Pacific’s strategic importance within their growth ambit. Income Insurance, regarded as a national icon since its inception in 1970 as a co-op, remains committed to maintaining inclusive insurance offerings, while it explores other liquidity avenues for shareholder value.