The sale of Sang Sang In Savings Bank has become uncertain. KBI Group, the intended buyer, has withdrawn its request for stock acquisition approval from financial authorities, prompting both Sang Sang In and KBI to reconsider the maintenance of their contract and the possibility of changing its terms.
On August 31, Sang Sang In announced that it has postponed the scheduled date for the disposal of its shares in Sang Sang In Savings Bank from today to September 21. However, the revised date is not the final transaction date but rather a time for discussions between the buyer and seller regarding the maintenance of the contract and potential changes to its terms.
Last October, Sang Sang In entered into a stock purchase agreement to sell 12,241,000 shares of Sang Sang In Savings Bank to KBI Group's subsidiary, KBI National Industry, for 110.7 billion won. This represents 90.01% of the total issued shares. If the transaction is completed, Sang Sang In's ownership stake will decrease from 100% to 9.99%.
The sale price consists of a down payment of 11.07 billion won and a remaining balance of 99.63 billion won. Sang Sang In has been pursuing the sale to comply with a stock disposal order from the Financial Services Commission and to secure investment funds.
However, KBI's recent withdrawal of its stock acquisition approval request has prevented the transaction from being finalized by the originally scheduled date. According to the contract, if the Financial Services Commission does not grant approval by August 31 or if it is confirmed that approval is not possible, either party can notify the other in writing to terminate the contract.
Instead of confirming the termination of the contract, Sang Sang In plans to negotiate with KBI regarding the maintenance of the contract and any changes to its terms by September 21. Depending on the outcome of these discussions, the sale process may either be resumed or the contract may be terminated.
KBI Group stated, “With the change in the scheduled disposal date for the stock purchase agreement of Sang Sang In Savings Bank, we will actively engage in close consultations and cooperation moving forward.”
* This article has been translated by AI.
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