Failed merger Income should focus on organic growth, not on seeking strategic partner

I wish to comment on statements issued by Allianz, Income and NTUC Enterprise on Dec 16 (Allianz calls off deal with Income Insurance after public scrutiny, Dec 16).

- Tommy Koh (Prof)

First, Allianz announced that it was withdrawing its offer to acquire a majority stake in Income Insurance. It also stated that the decision to withdraw it underscored "Allianz's financial discipline".

I welcome the decision by Allianz to withdraw its offer. However, the decision to withdraw is not based upon Allianz's financial discipline but on the Singapore Government's opposition to the sale and the strong public opinion against the sale.

Second, I am surprised that the leaders of Income and NTUC Enterprise continue to insist that their decision to sell a majority stake in Income to Allianz was the right decision. Let us be clear about the facts.