|SUBJECT||Korea Eximbank Decides to Sell Its Shares of Korea Exchange Bank|
On December 20, Korea Eximbank held a board of directors’ meeting at headquarters and decided to exercise its Tag-Along rights over 40,314,387 shares (6.25% of total shares) of Korea Exchange Bank to Loan Star.
* The right to sell shares with the same conditions as Loan Star at the time of sale by Loan Star to a third party
After Loan Star concluded a modified contract with Hana Financial on Dec. 3 to change the purchase price from KRW 13,390 to 11,900, Loan Star made an inquiry on Dec. 7 with Korea Eximbank in regards to the possible exercise of the Tag-Along rights. The Bank will notify Loan Star by Dec. 21, which falls within 10 business days after the receipt of the Tag-Along offer.
By exercising its Tag-Along rights, Korea Eximbank will receive KRW 479.7 billion as it sells its shares to Hana Financial at a rate of KRW 11,900 per share.
Korea Eximbank made the decision in order to fulfill its fundamental role as a policy financial institution for Korean export companies and increase the Bank’s funding capacities. The funds acquired through the sale will serve as funds for export financing of Korean SMEs.