KTB Investment & Securities Completes Payment for Acquisition of Yujin Savings Bank... Subsidiary Integration

Emerging as a Comprehensive Financial Group

[Asia Economy Reporter Minwoo Lee] KTB Investment & Securities has fully incorporated Eugene Savings Bank as an affiliate.

KTB Investment & Securities announced on the 25th that it completed the acquisition of 60.19% of the shares of Eugene SB Holdings, the 100% shareholder of Eugene Savings Bank, for 200.3 billion KRW and incorporated it as an affiliate.

The Financial Services Commission approved KTB Investment & Securities' capital contribution approval review agenda related to the acquisition of Eugene Savings Bank at the regular meeting held on the 24th. Accordingly, KTB Investment & Securities acquired shares of Eugene SB Holdings, which holds 100% of Eugene Savings Bank, and completed the payment of the acquisition price. Including the 29.91% stake held by institutional investors who participated in the share acquisition, the total stake amounts to 90.1%, with a transaction price of 299.9 billion KRW.

KTB Financial Group has expanded its service area to the retail finance sector by acquiring Eugene Savings Bank. By adding a savings bank to its existing lineup of securities, asset management, venture capital (VC), private equity (PE), and credit information, it has diversified its revenue structure and enhanced the stability of its business portfolio.

Eugene Savings Bank is a large savings bank ranked around 7th in the industry by asset size, with a capital adequacy ratio (BIS) of 16.3% as of the end of last year, ranking first in the industry. It recorded an operating profit of 87.5 billion KRW and a net income of 66.8 billion KRW through the third quarter of this year.

Meanwhile, Eugene Savings Bank is in the process of merging with Eugene SB Holdings. If Eugene Savings Bank merges with Eugene SB Holdings, KTB Investment & Securities will directly hold the same share ratio of Eugene Savings Bank shares, which is expected to enhance the stability and efficiency of the governance structure. The acquisition process will be completed once the two companies merge through the Financial Services Commission's merger approval.

A KTB Investment & Securities official said, "By incorporating a sound savings bank as an affiliate, we have established ourselves as a financial group," and added, "We will fully support its growth into a competitive savings bank in line with the changing financial environment."