À̹ÌÁö È®´ë HI Investment & Securities
DGB Financial Group, a Daegu-based financial holding firm in South Korea, finalized its buildup through M&As after its acquisition of HI Investment & Securities Co. was cleared by the financial authority to enable it to join the rank of full-service financial conglomerate.
It requires a final stamping from the top decision-making Financial Services Commission, a procedure likely to be a breeze since the Financial Supervisory Service has found no fault in its screening.
DGB had planned to gain approval of HI Investment & Securities by March after signing a deal in November last year to take over an 85 percent stake in the brokerage company for 450 billion won ($399 million) from Hyundai Heavy Industries Co. But the process was stalled after former chairman Park In-kyu came under probe for illicit hiring and slush fund creation probe during a government review process.
Since then, a new chief took office and vowed to boost the securities company¡¯s net profit to 40 billion won from 5 billion won last year.
DGB Financial, whose main revenue source is its commercial bank arm Daegu Bank serving the city of Daegu and surrounding areas in southern part, turns into a full-service conglomerate with securities business added to its network. It launched DGB Life Insurance after taking over Woori Aviva Life Insurance in 2015 and DGB Asset Management after acquiring LS Asset Management.
On Monday, shares of DGB Financial Group rose 1.98 percent to end at 10,300 won in Seoul trading.
By Jin Young-tae and Lee Ha-yeon
[¨Ï Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]