BKL advised DGB Financial Group on its acquisition of a controlling stake in HI Investment & Securities (the "Transaction") from Hyundai Mipo Dockyard, becoming its largest shareholder. HI Investment & Services is a Korean securities firm with 22 years of experience providing comprehensive asset management services. It had total assets of approximately KRW 6.5 trillion based on its consolidated financial statements as of June 30, 2018 and includes as its subsidiaries HI Asset Management, a securities firm and Hyundai Futures, a brokerage firm.
The Transaction is of strategic importance to DGB Financial, constituting an expansion of DGB Financial Group’s non-banking business and strengthening of its position as a large financial group covering an array of financial sectors. Following the Transaction, DGB Financial Group offers a comprehensive range of financial units: insurance, securities, capital, and asset management. The Transaction will also enable DGB Financial Group to diversify its business portfolio and access a broader client base, as HI Investment & Securities possesses a nationwide business network, including in the Yeongnam area where the business of DGB Financial Group was primarily focused. Leveraging synergistic opportunities among its affiliates, DGB Financial Group seeks to significantly strengthen its position as a comprehensive financial group.
BKL’s team played a key role to the successful closing of the Transaction, providing comprehensive legal advice on all aspects of the Transaction. BKL’s legal services included the performance of legal due diligence on HI Investment & Securities and its two subsidiaries (HI Asset Management and Hyundai Futures), negotiating and signing a memorandum of understanding (MOU) and share purchase agreement (SPA) and obtaining regulatory authorization from the Financial Services Commission. BKL’s team provided comprehensive legal services for DGB Financial Group during the regulatory authorization process and proposed and implemented effective solutions following a nuanced and thorough understanding and analysis of all relevant issues. Attorneys Sky Yang, Young Mo Kim, Mi Eun Roh, Chulhong Park, and Min Kyung Song led the BKL team.