Anna Jiwon Park has been covering the politics at The Korea Times since the summer of 2024, when she joined the press pool for the Office of the President in Korea. Prior to that, she spent about five years reporting extensively on financial markets, regulatory authorities and the financial industry. She joined The Korea Times in 2019 after spending eight years as a broadcast journalist at Arirang TV, Korea’s leading global broadcaster, covering politics, defense and culture.
Will Kakao Bank CEO Yun see new term?
Kakao Bank CEO Yun Ho-young / Courtesy of Kakao Bank
By Anna J. Park
By Anna J. Park
With Kakao Bank CEO Yun Ho-young facing the end of his term early next month, media attention is on whether he will have another term at the internet-only mobile-based lender.
Yun was first appointed to helm the bank in 2017 as a co-CEO with Lee Yong-woo, a strategic investment expert. Utilizing the co-CEO's strengths ― Yun's expertise in the financial IT sector and Lee's strength in capital market investment ― Kakao Bank logged exponential growth in just a few years since its opening. The bank reached its break-even point after just two years, with more than 20 trillion won ($18 billion) in deposits by over 10 million users.
Based on synergy created by their successful leadership, the co-CEOs were jointly reappointed for another two years early last year. But Lee decided to leave his post in January this year to enter politics. With Lee leaving the bank, Yun has been leading it as the sole CEO since then.
While Yun is evaluated among market insiders to have shown a stable leadership despite the vacancy created by his co-CEO's departure, questions arise whether the financial IT expert-turned CEO will be able to solidify his sole leadership.
Kakao Bank said nothing regarding a reappointment for a next term has been decided so far.
“The decision about the CEO's reappointment will be decided by the board of directors. When that meeting will be held is undecided as of now,” an official from the bank said.
While the official did not specify any possible date, the board of directors meet generally around March to select who will lead the bank for the next term ― a selection finalized at a shareholders meeting.
Market insiders expect Yun's term is highly likely to be renewed, given the bank's extraordinary growth. Cumulative net profits for the first three quarters this year were logged at 85.9 billion won, a whopping 458 percent hike from the same period last year. The internet-based lender's numbers of direct employment also rose to 915, which is nearly triple the 328 recorded in July 2017, when the bank was launched.
The value of maintaining stable leadership through the bank's upcoming IPO planned sometime next year also makes Yun's reappointment more likely than not. The internet-based bank's market capitalization, assessed from its stock trading at local over-the-counter markets, stood at around 35.5 trillion won as of Sunday, reflecting huge investor interest in the bank's future.