Taiwan-based Yuanta acquires S. Korean savings bank

Taiwan-based Yuanta Financial Holdings Co. said Monday that it has acquired a South Korean savings bank in a bid to expand its footprint in Asia's fourth-largest economy.

The company said on its homepage that its flagship Yuanta Bank "acquired 100% of the ordinary shares of Hanshin Savings Bank in Korea for 135.1 billion won ($112.9 million)."

"Through this acquisition, Yuanta Bank will expand its overseas business in the North East Asia region and become more competitive," the statement said.

Hanshin Savings Bank is a mid-sized secondary lender with 340.6 billion won in assets. It posted a loss of 700 million won in the first quarter of this year.

Yuanta Bank should obtain approval from the Financial Services Commission, South Korea's top financial regulator, to finalize the acquisition.

The acquisition is the latest in a series of takeovers of South Korean financial companies by Taiwanese and Chinese firms.

Last year, the brokerage unit of Yuanta Financial purchased ailing Tongyang Securities Co.

Anbang Insurance Group Co., based in mainland China, acquired Tongyang Life Insurance Co. earlier this year. The Chinese group was the sole bidder for a controlling stake in state-run Woori Bank in November last year. (Yonhap)