Korea

The South Korean of Deutsche Bank AG has appealed a Seoul court's decision to freeze its assets over allegations that the company pocketed massive profits from illegal stock market trading late November.

Household lending among South Korean banks went up last month due to lower borrowing costs and local lenders'efforts to expand loans. According to figures by the Bank of Korea, household loans, including home-backed lending by domestic banks, reached an outstanding 443.2 trillion won or US$417.2 billion as of the end of June, up 3.4 trillion won from a month earlier.

The Export-Import Bank of Korea signed an MOU with the Asian Development Bank on financing the Asian region's infrastructure development projects that are to be undertaken by South Korean firms.

Nearly half of the lenders’ 6,500 employees here had a walkout to protest against a proposed incentive-based compensation system.

South Korea's financial watchdog  requested savings banks with substandard levels of capital to submit self-rescue measures as part of its efforts to overhaul the troubled sector.

SC First Bank temporarily shut down operations at 43 branches in a bid to minimize the impact of a prolonged labor strike, according to Yonhapnews.

But analysts say contract extension is enough to convince investors that the two companies can close the deal.

The lender offered 35mn shares at a price range of $48.8-$49.2 to meet regulations.

Hana Financial Group has agreed to extend a deal with U.S. buyout fund Lone Star Funds to buy a controlling stake in Korea Exchange Bank.

South Korea's financial watchdog penalized SC First Bank for its violations of local banking laws such as the illegal handling of metal loan services to corporate customers.

The company says it is keen on buying a life insurer to lessen reliance on banking revenue.

Move made possible after KEB board gave Lone Star $466mn, as it approves $1.42 recent dividend payout.

KEB will pay out an interim dividend of 1,510 won or US$1.42 per share for the second quarter, allowing its biggest shareholder Lone Star Funds to get large profits.

Banks are required to meet the loan-to-deposit ratio of 100% by June 2012, earlier than the existing deadline of end 2013.

Vogo Fund and MBK Partners had revived their interest after their attempt was halted in the last year’s bidding because of tepid investor interest.

Following the foiled takeover, Woori resorted to buy shares at public offering price as Hanmi Intends to use proceeds to grow its bank.