Woori merges subsidiaries with a goal to form asset management heavyweight

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Woori merges subsidiaries with a goal to form asset management heavyweight

Published: 22 Sep. 2023, 17:53

JIN MIN-JI
jin.minji@joongang.co.kr

Woori Financial Group building in central Seoul [WOORI FINANCIAL GROUP]

Woori Financial Group will merge two of its subsidiaries, Woori Asset Management and Woori Global Asset Management, the company announced Friday.

They will each hold a board meeting in October to pass the agenda. The merged entity will be established into a new entity in January next year.

“Once the merger is complete, it will turn into a comprehensive asset management company with 39 trillion won ($29.17 billion) in operating assets and the 10th largest in the market,” said Woori Financial Group in a statement.

It added that the efficiency of the asset management operation will be raised by combining the two subsidiaries, as Woori Asset Management has competitiveness in the operation of stocks and bonds, while Woori Global Asset Management has competitiveness in the operation of investment in properties, infrastructure and alternative assets.

“Instead of a simple merger of the two companies, it will lead to an establishment of a new entity,” said a spokesperson for Woori Financial Group in a statement. “Woori Financial Group will continue to put in more effort to raise shareholder value by expanding non-banking sectors and to raise the overall competitiveness” of the financial services.

BY JIN MIN-JI [jin.minji@joongang.co.kr]