, Korea

Hana eager to quickly close Lone Star deal

The U.S. fund may drop out of the contract if regulators fail to approve deal by the end of February.

Hana Financial Group chairman Kim Seung-yu raised the possibility on Wednesday that the group’s preliminary deal with Lone Star Funds to trade shares of Korea Exchange Bank could fall apart.

If financial regulators do not finalize their stance on whether to approve or reject the Hana-Lone Star deal by the end of February, there is a high possibility that the U.S. fund will drop out of the contract, Kim told reporters.

Under the scenario, Lone Star may file a suit against financial regulators, he said.

His remarks could be interpreted as pressure on financial regulators to approve the deal as soon as possible, according to analysts.

The Financial Services Commission and the Financial Supervisory Service are probing the shareholder eligibility of Lone Star, as a prior step to endorse or reject the M&A application.

A group of lawmakers and civic groups say the Hana-Lone Star deal was originally invalid, arguing that “the equity fund has been a non-financial investor, which is barred from owning a Korean bank.”

View the full story in Korea Herald.

Follow the link for more news on

Join Asian Banking & Finance community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Exclusives

Private fund tokens may be the future of investing
Kinexys seeks to keep a token’s sensitive financial information from prying eyes.
More tax perks could drive Philippine SMEs to go ‘green’
The Southeast Asian nation’s 1.1 million small businesses can be a target for green loans. 
Asia struggles with G20 payment targets
The ultimate goal is for cross-border payments to achieve “the speed of the internet.”