Shinhan Bank inks deal for 40% of Indonesian bank

Shinhan Bank yesterday signed an agreement to acquire a 40 percent stake in the Indonesian Bank Metro Express in Jakarta, Indonesia.

Established in 1967, Jakarta-based Bank Metro Express has a total of 19 branches in major Indonesian cities.

The total assets of the bank are $70 million and the rate of its non-performing loans that are in default or close to being in default is 0.72 percent.

With the recent acquisition, Shinhan Bank has built a bridge to expand its presence in Indonesia.

The flagship unit of Korea’s fourth-largest banking group, Shinhan Financial Group, has the largest global network among banks in Korea with its 63 branches in 14 different countries, including Japan, China and Vietnam.

“Shinhan Bank will cooperate with Bank Metro Express to create a synergy effect in the related business,” said an official at Shinhan Bank.

“In the long run, we expect we will contribute to the local Indonesian economy as we follow regulations from the central bank there, Bank Indonesia.”

Yonhap