HSBC Buys Bank of Seoul

The British-affiliated Hong Kong-Shanghai Bank Corporation(HSBC), the world's largest existing bank, announced its merger with Seoul Bank on February 22.
The Korean government officially announced that it approved the sale process and the conditions that will see 70 percent of Seoul Bank's shares go to HSBC.
The government will hold the remaining 30 percent of Seoul Bank's stock, and it maintains the right to additionally buy a further 19 percent of any shares that become available.
HSBC will pay 200 million dollars to the Korean government and an additional 700 million to Seoul Bank to raise its capital adequacy ratio.
HSBC will conduct a rigid audit on Seoul Bank in terms of assets and liabilities for the next three months, and officially complete the merger before late May.
Following on the heels of the sale of Korea First Bank, this purchase may represent the growing recovery of the Korean economy. This sale was seen as one of the last keys to bank restructuring.
HSBC initially wanted to take over Korea First Bank but it was unsuccessful, but it was determined not to lose out on Seoul Bank.
HSBC has 473 billion dollars in assets, and recorded a profit of 800 million dollars last year and is regarded as one of the world's best and securest banks.
Its first tie to Korea came in 1872 when it originally founded a branch office in Inchon.