One of the foremost financial services providers in South Korea, Hana Financial purportedly secured a 35% stake in BIDV securities. The agenda of the deal is to shape the business growth strategy and offer a solid base to expand the generation of returns.
BIDV Securities deals with investment banking and brokerage services. From the reports published, this investment valued at $113.8 million ranks Hana Financial the second-largest venture capitalist of BIDV Securities.
Beyond signing the deal, Hana Financial will also have the privilege to enjoy some of its unique preferences. These include; a favorable rate of 0.15% transaction value for all transactions and a margin interest rate discount of 1% per annum.
“Launched in 2011, BIDV Securities is an affiliate of the Bank for Investment and Development of Vietnam (BIDV), the only state-owned commercial bank that is designated by the Vietnamese State Securities Commission as the settlement bank for the Vietnamese stock market,” Yonhap News Agency highlighted in the report.
In Hana Financial view, they regard BIDV Securities as a company that has a positive lead in digital-driven securities and a guiding light in the near future. Having a good establishment in Southeast Asia, one of the fastest-growing economic regions, the company acquires a high chance to thrive.
Hanna Finance Dense Reap
Hanna Finance plays a great role in the region’s financial era. The company recently released its first-quarter operating statement. The net income posted for the period was KRW 902.2 billion.
On Apr 22, Hana FG announced Hana Financial Investment’s rights offering of KRW500.0bn. Hana Financial Investment capital should exceed KRW6.0tn by year-end considering its end-1Q22 equity capital stood at KRW5.35tn. Non-bank subsidiaries appear to be continually enhancing their contribution to Group earnings.
“Robust top-line backed by enhanced performance of the key subsidiaries proved strong earning capacity of the group. Bank NIM expansion and loan growth along with diversified fee income streams contributed to record core earnings. Asset quality-focused asset growth strategy ensured a benign level of credit cost, securing sufficient buffer against the annual target,” the Group highlighted.