Standard Chartered is set to acquire Korea First Bank for $3.3 billion by the end of April.
Standard Chartered chairman, Bryan Sanderson stated, “The heart of our strategy is to create value for our shareholders, particularly in Asia. We have highlighted Korea as one of a number of key markets in which we want to build a larger presence. It is the third largest banking market in Asia and offers outstanding opportunities to create substantial value for our shareholders.”
“I am delighted we have reached an agreement to acquire Korea First Bank. It is a major move forward for the Group. This is a well managed, conservatively run bank with a highly skilled workforce. This is a significant acquisition in a key growth market. It is a big step towards our aspiration to lead the way in Asia, Africa and the Middle East,” said Standard Chartered Group Chief Executive, Mervyn Davies.
From a Bloomberg article:
“Standard Chartered, the U.K. bank that makes about two- thirds of its profit in Asia, lost 24.5 pence, or 2.6 percent, to 928.5 pence. The lender agreed to buy Korea First Bank for $3.3 billion, its biggest purchase, to increase earnings in the region’s third-largest banking market. Standard Chartered said it plans a 1 billion-pound ($1.88 billion) share placement to fund the acquisition.
Separately, Standard Chartered denied that it’s in talks to buy all or part of First National Bank, South Africa’s No. 2 lender, which is worth about 43 billion rand ($7.2 billion).”
Standard Chartered started doing business in South Korea in 2003.
Murdok | Breaking eBusiness News
Your source for investigative ebusiness reporting and breaking news.
