South Korea’s Daegu Bank Ltd. has agreed to buy a full stake in Cambodia-based Cam Capital Specialized Bank for 71.6 billion won ($63.2 million) to expand its footprint in the Asian market.

Daegu Bank said on Wednesday that the two banks gained approval from their board of directors and will sign a share purchase agreement on Thursday. This marks Daegu Bank’s third market entry into the Asian financial market, after China and Vietnam.

Founded in 2009, Cam Capital Specialized Bank has five operations in the capital Phnom Penh with a staff of 260. It generated a net income of $3.39 million in 2016, making it one of the most profitable specialized banks in Cambodia, according to Daegu Bank.

Daegu Bank, a regional banking group based in Daegu, Korea that has been offering various banking and other financial products and services since its inception in 1967, plans to leverage its growth in Southeast Asia to bolster its global network and explore new markets and businesses for future growth.

“We are pleased to enter Cambodia on our 50th year anniversary,” said a Daegu Bank official. “We expect to build on this acquisition to further broaden our reach in Asia.”

By Roh Seung Hwan and Kim Hyo-jin

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