26 October 2014

SK Telecom readies for move into financial services with Hana Financial stake

11 December 2009  |  4850 views  |  0 smartphone

South Korean mobile telco SK Telecom is set to buy a 49% stake in credit card operator Hana Financial, in a move that is likely to accelerate the convergence of telecoms and banking transactions in the country.

Local paper Yonhap News reports that SK Telecom had agreed to pay $343.4 for its stake in the country's fourth-largest finanial services group, citing an unnamed source. The deal is expected to be agreed on Monday, the paper says.

SK Telecom already operates an international P2P payments joint venture, Mobile Money Ventures, in partnership with Citigroup.

A tie-up with Hana would give the firm a foothold in the country's mature $400 billion credit card market.

In South Korea, 97% of the population own a mobile phone while most adults also carry more than four credit cards, creating opportunities for new revenue streams through the convergence of telecoms and banking.

Hana Financial chairman Kim Seung-yu told a news conference last month that the introduction of next generation smartphones would provide a sound business case for combining telecoms, financial and retail services.

Comments: (0)

Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board, sign up now.

Related blogs

Create a blog about this story (membership required)

Related stories

22 December, 2008
03 September, 2008
23 July, 2008
24 June, 2008
06 March, 2008
23 May, 2002

Related company news

 

Featured job

Competitive
Brussels, Paris or Frankfurt

Find your next job