New Giant Securities Firm
A new giant securities company is about to emerge in Korea, as NH Financial Holdings’ acquisition of Woori Investment & Securities is being wrapped up.
The new corporation is scheduled to be launched on December 31 this year. The company takes the name of NH Woori Investment & Securities in view of the high brand awareness and competitiveness of the merged company.
NH Financial Holdings is planning to grow the new company into a stock firm representative of Korea and leading its capital market. Once founded, NH Woori Investment & Securities will become the largest securities company in Korea with an equity capital of four trillion won (US$3.9 billion). The short-term goal of the company for the year of 2020 is 5.7 trillion won (US$5.6 billion) in total capital, 400 billion won (US$392 million) in current net income, 7.5 percent in return on equity (ROE), and 55 percent in wholesale rate.
At the same time, NH Financial Holdings is mulling over acquiring an additional asset management firm in order to shore up its financial investment business. “We have complemented the securities side by means of Woori Investment & Securities, and our top priority will be asset management from now on,” said NH Financial Holdings chairman Lim Jong-ryong, adding, “We will further improve the efficiency of our banking operations, worth 200 trillion won in total, by beefing up the asset management part.”