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Photo courtesy of Kyobo Life Insurance |
[Alpha Biz= Paul Lee] Kyobo Life Insurance has received regulatory approval to acquire a controlling stake in SBI Savings Bank, marking its entry into the savings bank sector.
According to financial industry sources on March 18, the Financial Services Commission (FSC) approved Kyobo Life’s application for a change in major shareholder status of SBI Savings Bank during a regular meeting held the same day.
Kyobo Life had previously resolved at a board meeting in April last year to acquire a 50% plus one share stake in SBI Savings Bank from its largest shareholder, Japan-based SBI Holdings. The acquisition is valued at approximately KRW 900 billion.
Currently holding a 8.5% stake in SBI Savings Bank, Kyobo Life had initially planned to acquire the remaining shares in stages by October this year after obtaining regulatory approval, taking into account its lack of prior experience in operating a savings bank. However, the company has decided to accelerate the process and complete the payment in a lump sum within the first half of the year.
As of the end of 2024, SBI Savings Bank is the largest player in the industry, with total assets of KRW 14.03 trillion, total equity of KRW 1.8995 trillion, and approximately 1.72 million customers.
SBI Savings Bank’s largest shareholder is SBI Holdings, a Japanese comprehensive financial group. Kyobo Life and the SBI Group have maintained a strategic partnership since 2007, collaborating on major initiatives such as a bid to acquire Woori Financial Group, discussions on establishing a third internet-only bank, and digital finance cooperation.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
