KB Securities is buying a majority stake in Indonesia`s Valbury Securities as Korea’s KB Financial Group widens its footprint in Indonesian financial sphere after establishing Bank KB Bukopin.

The Korean securities company said on Wednesday that it gained approval from Otoritas Jasa Keuangan (OJK), Indonesia`s financial authority, for the change of controlling shareholder and capital increase in Valbury Securities, enabling purchase of a 65 percent stake in Valbury Securities at about 55 billion won ($46.27 million).

KB Securities plans to launch its Indonesian entity in the first quarter of this year and put Valbury Asset Management, a subsidiary of Valbury Securities, under the Indonesian entity.

Valbury Securities, established in 2000, is a mid-sized securities firm with 18 branches nationwide in Indonesia. It recorded an annual return on equity (ROE) of 12.1 percent as of the third quarter of 2021.

KB Securities is ramping up its push to expand its global footprint with its entry into the Indonesian market after acquiring a Vietnamese securities firm in 2017.

By Pulse

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