Fubon Hyundai Life Decides on 700 Billion KRW Rights Offering

Strengthening Financial Soundness
Laying the Foundation for Sustainable Growth

Fubon Hyundai Life announced on the 18th that it has decided to carry out a capital increase of 700 billion KRW through a rights offering to strengthen its financial structure.

This capital increase by Fubon Hyundai Life was implemented to respond to heightened risks in the financial market and strengthened capital management requirements, as well as to lay the foundation for sustainable growth. The company plans to expand its core capital to maintain stable financial soundness, pursue product strategies to optimize profit and risk, and implement sales strategies to increase the Contractual Service Margin (CSM).

Fubon Hyundai Life Headquarters.

Through this capital expansion, Fubon Hyundai Life has addressed market concerns regarding capital adequacy and established a foundation for qualitative improvement. The company intends to establish and gradually implement a mid- to long-term financial soundness management plan so that it can maintain the appropriate level of the capital adequacy ratio (K-ICS) even without transitional measures.

Taking this rights offering as an opportunity, Fubon Hyundai Life plans to actively expand its business activities in line with market conditions across each sales channel. The company will strengthen product competitiveness through diversification across all channels, and pursue growth by expanding the exclusive sales channel's organization and forming strategic partnerships in the corporate insurance agency (GA) channel to increase CSM by channel.

Fubon Life, the largest shareholder of Fubon Hyundai Life, and its parent company Fubon Financial Holdings, continue to show sustained interest and investment in the Korean market.

Since becoming the largest shareholder of Fubon Hyundai Life in 2018, Fubon Life has provided continuous support. Fubon Financial Holdings invested in Woori Financial Group in 2019 and in Hyundai Card in 2022. Last month, Taipei Fubon Bank opened a representative office in Yeouido, Seoul.

A representative from Fubon Hyundai Life stated, "The rights offering is scheduled to be completed within the year after going through necessary procedures by the major shareholder and the subscription schedule."

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