Financial Services Commission Approves Merger of Pos Securities Co., Ltd. and Woori Comprehensive Finance Co., Ltd.
▲On the 12th, Im Jong-ryong, Chairman of NH Nonghyup Financial Group, is holding a press conference regarding the merger of NH Nonghyup Securities and Woori Investment & Securities at the Nonghyup headquarters in Chungjeong-ro, Seoul.
Woori Investment & Securities is relaunching after 10 years with approval from the Financial Services Commission.
On the 24th, the Financial Services Commission held the "14th regular meeting" and announced the approval of the merger between Korea POS Securities Co., Ltd. and Woori Comprehensive Financial Co., Ltd. Along with this, they approved △short-term financial business licensing △preliminary approval for changing Korea POS Securities Co., Ltd.'s business to investment trading and additional registration for investment brokerage △and the inclusion of the merged securities company (tentatively named Woori Investment & Securities Co., Ltd.) as a subsidiary of Woori Financial Group Inc.
Earlier, Korea POS Securities Co., Ltd. applied for merger and short-term financial business licensing to absorb Woori Comprehensive Financial Co., Ltd., as well as preliminary approval for changing its business to investment trading and additional registration for investment brokerage to operate as a comprehensive securities company.
Woori Financial Group Inc., the major shareholder of the merged securities company, applied for approval to include the merged securities company (tentatively named Woori Investment & Securities Co., Ltd.) as a subsidiary. Accordingly, the Financial Services Commission and the Financial Supervisory Service conducted a thorough review of the licensing requirements through evaluations by an external review committee composed of private experts and on-site inspections. As a result, they determined that all legal requirements were met.
Regarding the merger and short-term financial business licensing, a condition was imposed that the surviving entity after the merger can operate comprehensive financial business for a period of 10 years from the date of merger registration.
Furthermore, considering that comprehensive financial investment business operators who can issue commercial papers and provide corporate loans are subject to limit regulations, and that the operation period of comprehensive financial company business for the merged securities company is limited to within 10 years, Korea POS Securities Co., Ltd. included in its business plan limits on commercial paper issuance, corporate loan limits, and a phased reduction of comprehensive financial business with an expansion of securities business.
Meanwhile, Woori Financial earlier declared its re-entry into the securities business after 10 years through the merger of Woori Comprehensive Financial (Woori Comprehensive Financial) and Korea POS Securities. After the merger, the company name was set as Woori Investment & Securities.
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