Seoul-based private equity house IMM Private Equity will become the largest shareholder of HanaTour Service, in a capital increase by South Korea’s No. 1 travel agency, HanaTour said on Monday. IMM PE will buy HanaTour’s newly issued 2.3 million common shares, or 16.7 percent of the outstanding shares, for 134.7 billion won ($115.8 million) -- with a 16.3 percent premium to its market price -- according to HanaTour’s disclosure. The funding will be raised from IMM PE&rsquo

South Korea’s internet giant Naver-backed venture capital TBT said Tuesday it has named Startup Alliance Managing Director Lim Jung-wook as the new co-chief of the investment vehicle. Lim will take office in March, when his term at Startup Alliance expires.He is serving his seventh year as the head of the nonprofit organization, dedicated to startup ecosystem advocacy and community building. Formerly a career journalist, Lim served as the head of web portal operator Lycos and global b

More than half of middle-aged people were indebted last year, data showed Tuesday, in the latest sign of growing household debt in South Korea. The data compiled by Statistics Korea showed that 56.1 percent of people aged between 40 and 64 borrowed money from banks or other financial institutions in 2018, up 0.8 percentage point from 2017.Their median debt amount stood at 50.96 million won ($43,836) in 2018, according to the data.  For those who own homes, the median debt amount jumped to 8

South Korea's service sector logged a 5.6-percent rise in sales last year from a year earlier, thanks to robust sales at convenience stores and coffee shops, data showed Tuesday. The combined sales of local service firms totaled 2,155 trillion won ($1.85 trillion) last year, compared with 2,042 trillion won in 2017, according to the data compiled by Statistics Korea.The data showed that 12.18 million people worked in the service sector in 2018, up 4 percent from a year ago.  According to th

Economic conditions at home and abroad are expected to improve early next year, supported by a trade truce between the United States and China and an easing of Brexit worries, South Korea's vice finance minister said Tuesday. Vice Finance Minister Kim Yong-beom made the remarks at a regular meeting with senior financial officials on macroeconomic factors earlier in the day. "Recently, financial markets at home and abroad showed an improvement, thanks to a 'phase one' trade deal between the

South Korea's Cabinet on Tuesday approved a plan to lower tariff rates on 77 products next year to bolster the country's industrial competitiveness and stabilize prices of domestic goods. The products covered by a tariff quota include crude oil, liquefied natural gas and cobalt sulfate, a key ingredient in making batteries for electric vehicles, according to the Ministry of Economy and Finance. Under the tariff quota, which is set to take effect between Jan. 1 and Dec. 31 next year, tariff rates

South Korean and foreign securities firms saw their combined net profit fall 28.5 percent in the third quarter from a quarter earlier due in part to declines in commission fees, data showed Tuesday.The combined net profit of 56 local and foreign brokerages in South Korea stood at 988.9 billion won ($850.5 million) in the July-September period, down from 1.38 trillion won in the April-June period, according to the preliminary data from the Financial Supervisory Service.Brokerage commission fees f

In order to carry forward financial innovation next year, it is crucial to induce market funds into innovative industries, instead of the oversupplied housing mortgage sector, according to the top financial regulator Monday.“The funds (in the domestic capital market) are excessively focused on household lending, which mostly comprise housing mortgage loans,” said Financial Services Commission Chairman Eun Sung-soo at a financial policy meeting held at the Korea Deposit Insurance Corp

One out of 10 South Koreans invest in stocks and nearly half of them are in their 50s or older, government data showed Monday. According to the Ministry of the Interior and Safety, Statistics Korea and the Korea Securities Depository, around 5.55 million people invested in 2,216 listed firms on the domestic stock market, as of end-December last year. The findings showed that one in five of the economically active population were investors and the number reached 10.7 percent of all resident regis

South Korea’s exports inched down 2 percent in the first 20 days of December from a year ago, data from the Korea Customs Service showed Monday.The drop was mainly due to decreased shipments of semiconductors and ships -- 16.7 percent and 51.2 percent, respectively.Exports of passenger cars and wireless equipment, on the other hand, increased by 2.7 percent and 3 percent, respectively.(khnews@heraldcorp.com)

Seoul-based KTB Investment & Securities and KTB Asset Management have backed a 160 million euros ($177.2 million) acquisition of Tesco’s Distribution Center in Dublin, Ireland, by DTZ Investors, its adviser Cushman & Wakefield said Monday.It was the largest single-asset logistics transaction in Ireland by volume. The 73,000 square meter-wide warehouse is a logistics facility for dry goods distribution to some 150 Tesco stores across Ireland within three hours.  KTB partnered w

The average number of companies that suffered credit rating downgrades hit a three-year high this year, as they have been struggling to cope with the risks stemming from the US-China trade war and global economic slowdown, latest data showed Monday. According to separate evaluations by three major credit rating agencies here, the average number of firms that were downgraded so far this year increased to 55 firms, 15 more than last year. The corresponding figure stood at 37 in 2018 and 45 in

Plan of launching fund from employees being reviewed

Private equity house ATU Partners said Monday that it had signed a deal to buy a controlling stake in South Korean professional esports team DRX through its esports-focused fund worth 20.2 billion won ($17.4 million).The terms of the deal involving the League of Legends team, rebranded from Kingzone Dragon X, remain undisclosed. Alongside the deal, ATU Partners also reached an agreement to buy an undisclosed stake in esports agency Azyt. The fund is backed by limited partners including Kaka

South Korea's tax agency said Monday that it will launch an investigation into buyers of expensive homes over alleged tax evasion, a week after the government unveiled tougher regulations to rein rising home prices.  The National Tax Service said it will start the probe into 257 people who are suspected of evading taxes or illegitimately raising money to buy homes.  Debt accounted 69 percent of 512.4 billion won ($440 million) spent in 531 home transactions, which have been under scrut