Woori Bank CEO Lee Soon-woo

By Kim Jae-won

Woori Bank revealed a share purchase agreement Tuesday to acquire 33 percent of Indonesia’s Bank Saudara through its local subsidiary Bank Woori Indonesia (BWI) in accelerated efforts to go global.

The deal is contingent on approval by the financial regulators of each country. Woori didn’t disclose the price citing confidentiality.
Should the deal go through, BWI would become the second-largest shareholder of Bank Saudara, which recorded $559 million in total assets and $52 million in capital at the end of last year.

BWI had $568 million in total assets and $146 million in capital as of December. After carving out a niche in recent years by providing financial services to Korean industrial groups operating in Indonesia, BWI has been looking for local companies to invest in.

Excited Woori officials expressed optimism about buying into Bank Saudara, which boasts strengths in retail banking and will propel Woori to expand beyond corporate financing in the country.

“We expect the agreement to create synergy for our two banks from the different customer base,” said Woori in a statement.