South Korea’s internet-only lender Kakao Bank has decided to raise 500 billion won ($422.4 million) in capital by issuing new shares, the firm said Wednesday. The decision was approved by its board, as the firm seeks to improve its fiscal soundness.  According to Kakao Bank, it will issue 100 million new common stocks priced at 5,000 won per share. The record date for the shares is scheduled Nov. 5 and the stocks will be listed on Nov. 22. Once the capital increase process is complete

South Korea‘s financial regulator said Tuesday it received applications from three consortia, including one led by a fintech firm, for a license to set up a new internet-only bank. 　Fintech firm Viva Republica led one consortium, which included KEB Hana Bank, Hanwha Investment & Securities and the Korean unit of Standard Chartered bank.　The second consortium is led by an industry organization of owners of small businesses in Seoul, the Financial Services Commission (FSC) said in a stat

Rival Kiwoom-led consortium renounces bid

South Korea’s internet-only lender Kakao Bank will discuss an upcoming capital increase at its board meeting, the firm’s spokesperson said Tuesday, as it seeks to improve its fiscal soundness, while resolving issues surrounding its shareholder structure. “We will discuss an upcoming capital increase at the board meeting scheduled Wednesday,” Kakao Bank spokesperson Hwang Eun-jae told The Korea Herald. “We believe the issue of raising capital is important now conside

Despite YG Entertainment’s scheduled return of a 67 billion won ($56.6 million) investment to LVMH this week, the French luxury giant is still projected to lose around 8 billion won due to the decline in the K-pop agency’s stock value, local reports said Monday. According to reports citing financial industry sources, LVMH also purchased 503,588 common shares of YG worth 20.3 billion won when it bought 1,359,688 redeemable convertible preferred shares in the entertainment agency via i

Dunamu, an operator of global cryptocurrency exchange Upbit, announced Monday that it plans to launch a comprehensive over-the-counter trading platform that deals with all types of unlisted stocks. According to the Upbit operator, it will jointly launch the platform, which will be available in the form of an app, with local brokerage Samsung Securities and big data analytics company Deep Search by the end of the month.  The goal of this collaborative effort is to address the problem of &ldq

Of the combined savings deposits held by major banks in South Korea, nearly half belonged to the nation’s top 1 percent of income earners, a report from the Financial Supervisory Service showed Sunday. According to the report released via a minor opposition Bareunmirae Party lawmaker, 18 commercial banks operating in Korea held a combined 283.3 trillion won ($238.9 billion) on behalf of its clients in the top 1 percent income bracket, which accounted for 45.5 percent of the total deposits,

South Korean stocks are expected to build further gains as the United States and China reached a partial deal to end their trade war and as the Bank of Korea's rate decision comes under focus.On Friday (Washington time), US president Donald Trump unveiled the first phase of a deal with China to end their yearlong trade row that has roiled the global financial market and suspended a planned tariff hike.The benchmark Korea Composite Stock Price Index closed at 2,044.61 Friday, up 1.2 percent from

Financial authorities on Thursday began to accept applications for a second round of bids for a preliminary license to operate the nation’s third internet-only bank, according to the Financial Services Commission.Unlike the first round earlier in the year, however, concerns are mounting that market expectations may have soured, as only one consortium confirmed its bid on the first day.“The business license for a new internet-only bank is the FSC’s top priority task for the seco

Labor market rigidity, low entrepreneurship cited as hurdles as Korea takes 13th spot

Hyundai Card, the credit card unit of Hyundai Motor Group, is seeking underwriters and advisers for a proposed initial public offering, its spokesperson said Tuesday. “We have approached domestic and foreign financial institutions as part of the listing process,” the firm’s spokesperson Ha Young-jin told The Korea Herald.  “But right now it’s difficult to say whether we will proceed with the plan. An IPO would be an opportunity to expand our capital and bolster

Foreign investors continued to scoop up local shares and bonds in the first seven months of the year, the central bank said Tuesday, possibly reflecting their confidence in the country's strong economic fundamentals despite a steady decline in exports and sluggish growth.In the January-July period, foreigners purchased a net US$8.71 billion worth of local stocks while also purchasing a net $16.43 billion worth of local bonds, the Bank of Korea said in a report submitted to the parliamentary fina

　South Korea ranked 20th out of 53 countries surveyed by German insurer Allianz Group in terms of per capita financial assets last year, according to a report from the group.　According to the recently released “Allianz Global Wealth Report,” Koreans’ financial assets stood at an average of 39 million won ($33,000) per person in 2018, slightly up from a year earlier.　Last year, the United States topped the list with per capita financial assets of 240 million won, followed by Swi

South Korea’s financial watchdog said Monday it will start a comprehensive audit of Shinhan Financial Group and its commercial banking unit this month. According to a Shinhan Bank spokesperson, the Financial Supervisory Service sent a request last month for documents, ahead of a change in management next year.  “We have received a request for a comprehensive inspection from the FSS slated around the end of the month,” the spokesperson told The Korea Herald, without elabora

Retail investors’ short selling transactions in the third quarter accounted for merely 1 percent of the total transaction volume, according to Korea Exchange data Monday.Short selling is a high-risk trading strategy when investors borrow shares to sell them on the market, in order to buy them back later at a lower price. The investors hope to profit by returning them to the lender at a later date. According to the nation’s main bourse operator, short selling by retail investors