Kyobo Life Insurance is moving to acquire SBI Savings Bank as it pushes for a holding company transition.
According to the insurance industry on the 24th, Kyobo Life Insurance plans to sign a stock purchase agreement (SPA) to acquire equity in SBI Savings Bank. The scale of the equity to be acquired is reported to be 30% to 50%. SBI Savings Bank is fully owned by its parent company, Japan's SBI Holdings. A representative from Kyobo Life Insurance noted, "Negotiations are ongoing, and the scale of the equity to be acquired has not been determined."
Kyobo Life Insurance's move to acquire SBI Savings Bank is interpreted as a strategy for the holding company transition. Kyobo Life Insurance has been pushing for a holding company transition for a long time, but it has not achieved significant results due to a dispute over put options with financial investors (FIs). However, with two FIs selling 13.55% of their shares in Kyobo Life Insurance, the possibility of the holding company transition has increased.
SBI Holdings, the parent company of SBI Savings Bank, stepped in as a white knight by acquiring 9.05% of the 13.55% stake being sold by financial investors (FIs). SBI Holdings plans to increase its stake in Kyobo Life Insurance. The SBI Group is known to have a close relationship with Kyobo Life Insurance.