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RETAIL BANKING | Tony Chua, Korea
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Morgan Stanley applies as bidder for Woori takeover

Analysts see JP Morgan or UBS to acquire Woori among eight shortlisted bidders.

Morgan Stanley, JP Morgan Inc and UBS AG are among eight investment banks short-listed to manage the $6 billion sale of Woori Finance Holdings Co Ltd, people familiar with the matter said on Wednesday.

The sale of 57 percent of South Korea's third-largest financial group by market value was the biggest takeover deal in the country this year and could generate fees of as much as $226 million for the three investment banks picked to manage the sale, a banker seeking to win the mandate to manage the Woori deal told Reuters.

Three investment banks, one foreign and two local, would be chosen to manage the Woori sale by the middle of the month, people familiar with the matter said.

Five Korean investment banks have been shortlisted to manage the sale: Woori Investment & Securities Co Ltd, Samsung Securities Co Ltd, Daewoo Securities Co Ltd, Korea Investment & Securities and Samjong KPMG, the sources said.

"It is a landmark government privatisation and any banker would be willing to sacrifice on fees," said the banker. Fees for deals as large as Woori are usually between 5 and 8 percent of the total value of the transaction, but the banker said the fee would likely be no more than 4 percent in this case.

View the full story in Reuters.

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