Woori Privatization Update: Stake sale delayed by weak share price

The South Korean government may delay its sale of a 7-8% stake in Woori Finance until after this May, due to the company’s weak share price, reported the Seoul Economic Daily.

The report cited an unspecified insider at Korea Deposit Insurance who has knowledge of the situation as saying it is hard to determine the sale at this level of share price – and if the share price remains at the same level, the stake sale may take place after May.

Woori Finance’s share price was KRW 15,350 per share as of yesterday’s (March 17) market closing.

The state-run Korea Deposit Insurance in 2009 sold a minority stake at KRW 16,050 per share.

The stake sale itself could be canceled if the share price does not recover to the level of KRW 17,000 per share even after May, an unsourced part of the report speculated.

As reported, the South Korean government, which holds a 66% stake in Woori Finance, through Korea Deposit Insurance, is considering selling a part of its holding through the stock market.

(Source: Seoul Economic Daily)

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