Wu Xinhui: The signal of the transaction that stops abruptly

The abrupt end of the transaction shocked the chairman of the court and the opposition in Congress. It is said that it was also shocked that the Central Committee of the National Federation of Workers' Association decided on the day was also shocked.The hot discussions caused by the caused by Bi Danxing were suspected of perjury.However, what are the considerations and political risk assessments behind this abrupt operation?

First of all, Andlian's acquisition of Yingkang Insurance has contributed a fierce debate in the Congress in August. Although the Owari and the field understands that Yingkang Insurance needs to introduce good strategic partners to strengthen its strength in the sustainable development of the competitive insurance industry.Then they can continue to provide affordable insurance products, but everyone pays attention to how Ying Kang can fulfill its promise social mission after becoming a few shareholders.At that time, the government's position was to generally support the acquisition transaction, although it also showed that the official will refer to the various attention proposed by members and public opinion during the review.People's impression is that this transaction should be a foregone conclusion.Allianan, who has a certain reputation in the international insurance industry, should think so.

The government's intervention will thus have an impact on Singapore's international image, especially other pro -business and investment environments, and this risk will not be considered.But what is the risk of not intervention?Social opinion has a lot of questions about how Yingkang Insurance was acquired after the acquisition of its social mission. This sound should be enough to make the HKMA personnel improve their vigilance when further reviewing the details of the acquisition transaction.In the three years of the transaction, after allowing Yingkang to return 1.85 billion yuan in cash to the shareholders to achieve the capital optimization plan, he immediately notified the Wenhe Qing Department.

The integrity of the government and enterprises is a high value belief in Singapore. This belief is based on the long -term maintenance of the interests of the country and the public.Yingkang Insurance and Allianz's strategic partners are for the long -term development. The total vocational creation is the holding company of social enterprises such as Yingkang Insurance, and the main shareholders of the general general vocational and outstanding.EssenceThe government has supported in principle.However, there is a capital optimization plan that the government and the Chinese Commission are unknown in the transaction details. If this "Cheng Bite Jin" is gently let go, it is a great integrity problem in both the government and the vocational general.With today's fourth -generation political leadership team focusing on updating social contracts and more Singaporeans paying attention to the social atmosphere of tolerance and social justice. The government's political risks that do not interfere with this transaction are great intervention.After all, the minister has repeatedly emphasized that this intervention is because the structure and terms of the established transactions do not meet the public interest. If these problems are resolved, the door of the acquisition plan is still open, including Allianan can continue to consider.In other words, Singapore's policy of keeping opening up and welcome investment has not changed. The government's promise of the government's internal and external integrity should be more promised to increase the promise of this open policy.

According to previous reports, more than 50 direct insurance companies in Singapore provide various insurance products, and Yingkang has 1.7 million insured households.6%, although not very large, but its social obligation and integrity of this mission are the "big shareholders" in Singapore's social beliefs.Therefore, the acquisition of transactions has also caused many non -insured discussions.However, this heated discussion was not over.

After the government intervention, the focus of public opinion is why Yingkang's plan will be reduced by nearly 2 billion yuan in three years after the transaction is completed. The relevant government departments and the vocational associations are in the drums.What is the problem of the opaque or omissions of the information? Is there a problem that is not reported?What are the reviews and amendments?When the leaders of the Vocational Chief Vocational Chief Excellence reiterated whether Yingkang will continue to provide affordable insurance products at the announcement of the July statement and a press conference, I already know that Yingkang will reduce the capital reduction plan, and why does not explain and what kind of mechanism will have the specific explanation of the specific instructionPerform the promise?Nowadays, the capital reduction plan has been made public, and the leaders of the vocational leadership and Yingkang should be explained, rather than the government's explanation.

Although Chen Guoming, Minister of Administration and Deputy Secretary -General of the Prime Minister's Office, explained in Congress on Monday that Yingkang is an unlisted public institution that must abide by legal responsibility and cannot disclose commercial sensitive information involving the future plan of Allianz.However, the capital reduction plan is a major movement of Yingkang, which involves whether it can effectively implement the commitment of social mission and take care of the interests of workers. The vocational school should not be an outsider in the business secrets, but the stakeholders, especially the integrity and interests.

This incident highlights some of the legal and enforcement conflicts of interests and implementation of social transactions in business transactions. For example, how to deal with so -called sensitive business information, in various related reviews of the coming down, it should be perfected and clarified.It is revealed that the channels and the reported channels should be clearly stipulated.Social enterprises have the obligation that it must fulfill. When involving the acquisition plan that involves selling off or expanding business, it cannot be handled in accordance with the laws of general commercial acquisition operations.As a result, this should not only communicate transparent, but also the procedures must be clear and transparent.

Michael E. Porter, a well -known competitive strategist and a professor at Harvard Business School, talked about why companies must face social issues in October 2012 Forbes Magazine interview.He said that enterprises participating in solving social problems will bring differentiated advantages, innovation and growth to enterprises.When a company innovates environmental impact, improves customer health, or promotes personal financial security, it will create economic and social value, and this shared value is a competitive advantage.

In the past week, the national courts and Congress buildings are creating value for integrity.It is the competitive advantage that Singapore cannot destroy .