Hana Seoul

completed

Hana Bank and Seoul Bank provide a full range of banking services and products for both individuals and corporations such as retail banking, commercial banking, corporate finance, credit card services and asset management. The project will enhance the scale and scope of Hana Bank''s operations while at the same time assisting the Republic of Korea in meeting its desired goals in privatization as well as achieving consolidation in the banking industry. The merger between Seoul Bank and Hana Bank is expected to be completed by December 1, 2002, and KDIC has committed to sell to Hana Bank 60% of its Hana Bank holdings , or 36,600,000 shares, within twelve months, with the remaining 40% to be sold within 18 months.IFC has been by Hana Bank to participate in the merger and privatization of Seoul Bank, which is 100% government owned by the Korea Deposit Insurance Corporation. In addition to enhancing the scale and scope of Hana Bank''s operations which will lead to a strengthened financial position, this privatization will also assist the government of South Korea in meeting its stated goals of privatizing, consolidating and reforming the financial sector. These goals are entirely consistent with those of the IMF and the World Bank as this project seeks to privatize one of the largest Korean banks, thus marking an important milestone of the restructuring process in Korea.