SEOUL (Yosefardi) – Shinhan Bank, South Korea’s third-largest commercial bank by asset, said Monday that it has concluded a deal to acquire a controlling stake in an Indonesian bank as part of its efforts to beef up its overseas presence, Yonhap reported.
Under the contract, Shinhan Bank buys 75% in Centratama Nasional Bank based in Surabaya, east Java, according to the lender.
The Indonesian bank, founded in 1992, has 41 sales channels in the eastern Java region with assets totaling US$81 million.
Shinhan Bank expects the latest purchase to create synergy in the Southeast Asian country following its acquisition of a 40% stake in Jakarta-headquartered Bank Metro Express (BME) in April.
The Korean lender said it will merge the two Indonesian banks next year to strengthen its business footing and banking network in the Southeast Asian region, after buying an additional 50% share in the BME later this year.