Singapore Blocks Allianz's Insurance Acquisition

The Singapore government has blocked a proposed S$2.2 billion ($1.68 billion) deal for German insurer Allianz to acquire a majority stake in Income Insurance, citing concerns that the transaction is not in the public interest. Prime Minister Lawrence Wong indicated that new information arose during the review process, prompting the decision, although he clarified that Allianz is still deemed suitable for the acquisition. The Culture, Community and Youth Minister Edwin Tong highlighted worries that the deal could undermine Income's social mission to provide affordable insurance for low-income workers. However, the government remains open to new proposals from Income that address these concerns, potentially involving Allianz or other partners. Allianz aimed to strengthen its position in Asia with this acquisition, which has faced public backlash since its announcement. The move to block the deal does not signal a closed door to foreign investment in Singapore, according to officials.