4 Major Financial Holding Companies Say "No Problem with Value-Up"...All-Out Effort to Prevent Investor Exodus

The four major financial holding companies are making every effort to maintain external credibility by sending a message to foreign investors that "value-up will proceed without any setbacks." This comes as foreign investors continue to withdraw amid ongoing political instability following the declaration of martial law and the impeachment crisis. The financial sector is activating an emergency response system and preparing measures to stabilize the financial market.

According to the financial sector on the 10th, the four major financial holding companies (KB, Shinhan, Hana, and Woori) have devised plans to maintain external credibility and have begun communicating with domestic and international investors. This is due to growing market concerns about the value-up plan amid continued political instability following the declaration of martial law.

KB Financial sent letters to major global investors explaining the current situation and reaffirming its commitment to the value-up plan announced last October. KB Financial's stock price fell by 18.18% over four trading days (based on closing prices) from the 4th to the 8th, immediately after the declaration of martial law. During the same period, Hana Financial (-13.33%), Woori Financial Group (-10.98%), and Shinhan Financial Group (-5.93%) also recorded significant declines.

KB Financial, together with its major affiliate Kookmin Bank, shared the current situation with the Director of Supervision at the National Bank of Cambodia and agreed to maintain ongoing communication regarding future issues. In Singapore, KB Financial responded to inquiries from financial authorities about the declaration of martial law and its impact, and sent letters explaining the situation to major institutions.

A KB Financial Group official stated, "We are reviewing and reorganizing countermeasures to prepare for future crisis situations and are proactively responding to prevent investor withdrawal and market confusion."

Shinhan Financial Group is also working to ease investor concerns through real-time communication such as conference calls with overseas investors. Shinhan Financial Group said, "The corporate value enhancement plan (value-up) will be carried out as scheduled without change," emphasizing efforts to maintain external credibility. Additionally, it plans to prepare responses by establishing scenario-based plans considering the worst-case situations to cope with market shocks amid uncertainties in the management environment.

Hana Financial is continuing its emergency response system and is fully committed to risk management. It plans to strengthen a 24-hour monitoring system to prevent shocks from spreading to foreign currency liquidity and exchange rates. Furthermore, the CEO, management, and board of directors will maintain close communication with domestic and international investors, emphasizing their plan to achieve a total shareholder return ratio of 50% by 2027 without fail.

Woori Financial is also prioritizing financial market stabilization and intends to continue its value-up plan. Woori Financial stated, "We will continue efforts to keep our promises to the market, including the value-up program."