KB Kookmin Bank Completes Acquisition of 67% Stake in Indonesia's Bukopin Bank

Securing Majority Stake and Management Control of Indonesian Mid-sized Bank Bukopin Bank
"Providing Differentiated Comprehensive Financial Services through Expanded Synergy with KB Financial Group"

At the shareholders' meeting held on the 25th at the Bukopin Bank headquarters located in Jakarta, Indonesia, the board members and executives of KB Kookmin Bank and Bukopin Bank are taking a commemorative photo.

[Asia Economy Reporter Park Sun-mi] KB Kookmin Bank announced on the 26th that it has completed the shareholders' meeting resolution to acquire a 67% stake in Bank Bukopin, a mid-sized bank in Indonesia.

With this, Kookmin Bank has finalized the share acquisition process that had been underway since the board of directors resolved to acquire additional shares of Bank Bukopin on the 16th of last month. The total investment amount is approximately 400 billion KRW.

Since investing 22% of Bank Bukopin's shares in July 2018, Kookmin Bank acquired an additional 11.9% through a rights offering last month and 33.1% through a third-party allotment this month, bringing the total stake to 67%.

Bank Bukopin, established in 1970, has an extensive network across Indonesia, including 412 branches and 835 ATMs. After the acquisition, Kookmin Bank plans to develop Bank Bukopin by integrating systematic risk management know-how and advanced digital capabilities for SOHO, small and medium enterprises (SMEs), and retail sectors.

A Kookmin Bank official stated, “Although there were many difficulties in the acquisition negotiations due to COVID-19 related movement restrictions and concerns over foreign capital taking management control, we have secured a stable management stake of more than two-thirds within a short period. We have laid the foundation to grow into a comprehensive financial group in Indonesia together with KB Financial Group affiliates operating locally, such as KB Insurance, KB Kookmin Card, and KB Capital,” emphasizing the significance of the achievement.

This content was produced with the assistance of AI translation services.