The Korea Development Bank has selected Korea Investment Holdings as the preferred bidder for the sale of KDB Life Insurance. This marks Korea Investment Holdings' first foray into the insurance industry.
According to financial sources on August 13, the Korea Development Bank held an investment review committee meeting and designated Korea Investment Holdings as the preferred bidder for KDB Life Insurance. The sale involves 116.32 million common shares held by the bank, representing approximately 99.75% of the company.
The bidding process, which closed on August 7, saw participation from Korea Investment Holdings, Hanwha Life, and Heungkuk Life. Reports indicate that Korea Investment Holdings proposed a capital increase of up to 1 trillion won following the acquisition. Specific details regarding the purchase price and capital increase conditions have not been disclosed.
Korea Investment Holdings has subsidiaries in securities, asset management, savings banks, and capital, but does not currently own an insurance company. In the first half of this year, the group's net profit reached 1.915 trillion won, with Korea Investment Securities accounting for 1.731 trillion won, or 90.4% of the total. The acquisition of KDB Life Insurance is expected to diversify the group's securities-focused business structure.
As of the end of March, KDB Life Insurance reported total assets of 16.5576 trillion won. The company employs approximately 700 exclusive agents and has a network of corporate insurance agencies. It is anticipated that Korea Investment Holdings will leverage the long-term funds of the insurance company alongside the investment capabilities of its securities and asset management subsidiaries.
The sale of KDB Life Insurance has been pursued by the Korea Development Bank since acquiring the former Kumho Life in 2010. Previous attempts in 2014, 2020, and 2023 to sell the company to JC Partners and Hana Financial Group, respectively, were unsuccessful. If this transaction is finalized, it will mark the completion of the KDB Life Insurance sale after seven attempts.
* This article has been translated by AI.
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