[Asia Economy Reporter Kim Hyo-jin] Woori Financial Group is acquiring Aju Capital and Aju Savings Bank. Accordingly, Woori Financial will expand its non-bank portfolio.
According to the financial sector on the 22nd, Woori Financial plans to hold a board meeting on the 23rd to discuss the acquisition of Aju Capital.
Woori Financial holds about 48% of the shares in WelltoSee Investment, a domestic private equity fund established for the purpose of acquiring Aju Capital. WelltoSee Investment is the largest shareholder, holding 74% of Aju Capital's shares.
When Woori Financial joined this fund, it secured the priority acquisition right for Aju Capital. Therefore, if the board approves the acquisition, Woori Financial can acquire shares from the other shareholders of WelltoSee Investment and incorporate Aju Capital as an affiliate. The acquisition amount is reported to be approximately 570 billion KRW.
Since Aju Capital holds 100% of the shares of Aju Savings Bank, Woori Financial will also acquire Aju Savings Bank upon acquiring Aju Capital.
Once this process is completed, Woori Financial's non-bank sector will be significantly strengthened. Among the top five financial groups, Woori Financial was the only one without a capital company and a savings bank.
Aju Capital is a company with a large proportion of auto finance and ranks 8th in the industry. As of the end of June, based on consolidated financial statements, it recorded total assets of 7.5469 trillion KRW and a net profit of 61.8 billion KRW.
Woori Financial attempted to acquire Aju Capital in the first half of this year, but the process was somewhat delayed due to reasons such as approval for changes in the internal rating system. Woori Financial plans to complete the procedure by the end of the year.
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