Woori Monetary Group is reportedly trying to assist IMM Non-public Fairness in its bid to amass Prudential Life Insurance coverage Firm of Korea, which is able to flip the race to amass the US-based insurance coverage big’s Korean enterprise right into a three-way battle.
In line with a report by The Korea Instances, Woori is probably going to offer acquisition financing assist for IMM. Acquisition financing is capital that’s raised with a purpose to buy one other agency.
If this pushes by way of, then the three remaining opponents for the acquisition can be IMM, KB Monetary Group, and MBK Companions.
Woori didn’t take part within the preliminary spherical for Prudential in January. Nonetheless, the corporate’s chairman, Son Tae-seung, mentioned that Woori continues to be contemplating buying Prudential Life Korea.
The report, citing monetary observers, mentioned that Woori appears to be avoiding scrutiny from monetary authorities. Earlier this month, Woori was fined and its chairman was sanctioned over irregularities in promoting high-risk monetary merchandise.
Within the occasion that Woori backs IMM, it’s more likely to obtain criticism from client teams, which criticised non-public fairness corporations as “vulture funds” which are solely in turning a revenue. The Korea Finance Client Federation (KFCF) and different client teams have petitioned regulators to bar non-public fairness corporations from holding controlling stakes in insurance coverage corporations.