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(Photo= Yonhap news) |
[Alpha Biz= Reporter Kim Sangjin] On the 24th, the Financial Services Commission (FSC) approved the merger and short-term financial business license proposal submitted by Woori Financial Group for the merger of Woori Investment Bank and Korea POST Securities. Additionally, the FSC granted preliminary approval for the change in investment trading business, additional registration for investment brokerage business for Korea POST Securities, and approval for the incorporation of the merged securities company (Woori Investment & Securities) as a subsidiary of Woori Financial Group.
The FSC, after reviewing the licensing requirements based on evaluations and field investigations conducted by an external evaluation committee composed of the Financial Supervisory Service and private experts, concluded that all legal requirements were met.
Regarding the merger and short-term financial business license, the FSC imposed a condition that the surviving entity post-merger would be allowed to conduct comprehensive financial operations for a period of 10 years from the date of the merger registration. This 10-year period is in accordance with the Enforcement Decree of the Financial Industry Structural Improvement Act.
For comprehensive financial investment companies that can issue commercial paper and provide corporate loans, there are regulatory limits on issuance and corporate loans. Considering that the merged securities company will be restricted to conducting general financial operations for up to 10 years, the FSC required the inclusion of future business plans that address issuance limits, corporate loan limits, and the gradual reduction of general financial operations in favor of expanding securities business operations.
Alphabiz Reporter Kim SangJin(letyou@alphabiz.co.kr)
