JB Financial Group Completes Final Approval for Acquisition of Indonesian Specialized Lending Firm

[Financial News] JB Financial Group announced on the 7th that it has received approval from Otoritas Jasa Keuangan (OJK) for a change in the major shareholder of the local Multi Finance Company, PT KB Bukopin Finance.
Last July, JB Woori Capital signed a Stock Purchase Agreement (SPA) with PT Bank KB Indonesia Tbk (KBI), a subsidiary of KB Kookmin Bank, to acquire an 85% stake in KB Bukopin Finance for approximately 29 billion won. With this OJK approval, the key regulatory procedures for the acquisition have been passed.
KB Bukopin Finance is an Indonesian financial institution established in 1983 that provides credit financial services, including corporate finance and working capital financing. As of the end of last year, it had its headquarters in Jakarta and eight branch offices, with 124 employees. Total assets amounted to 1,160,496,000,000 rupiah (approximately 92.8 billion won), a 78.7% increase from the previous year, and it recorded a net profit of 19,131,000,000 rupiah (approximately 1.5 billion won).
JB Financial Group plans to combine JB Woori Capital's capabilities in automotive and corporate finance and risk management with KB Bukopin Finance's local customer base and sales network. Once the acquisition is finalized, the company intends to complete an equity investment in the Indonesian subsidiary of AI-based fintech company AIZEN Global and begin full-scale collaboration between the two companies.
JB Woori Capital signed a new share subscription agreement with AIZEN Global last year. AIZEN Global has been expanding its electric vehicle (EV) financing business in Indonesia utilizing mobility data and recently recorded cumulative financing performance of over 17,000 EVs.
JB Financial Group is entering the financial market for electric two-wheeler (E-bike) riders by combining KB Bukopin Finance's local business base with AIZEN Global's data and mobility capabilities. It plans to offer financial products tailored to local demand, such as loans for purchasing electric two-wheelers, credit loans, and loans for purchasing batteries.
"This acquisition marks an important turning point for JB Financial Group to establish a foundation for long-term growth in Indonesia," said Kim Ki Hong, Chairman of JB Financial Group. "We will create a differentiated business model by combining JB Woori Capital's lending and risk management capabilities with AIZEN Global's data-based mobility capabilities on a local financial platform."
Meanwhile, JB Financial Group is currently operating local financial businesses in the Kingdom of Cambodia, Myanmar, and Vietnam.

[email protected] Ye Byeong-jeong Reporter