Dongyang Life Insurance's plan to become a full subsidiary of Woori Financial Group has passed a shareholder meeting.
On July 24, the company held an extraordinary general meeting where shareholders approved the comprehensive stock exchange agreement with Woori Financial Group by a majority vote.
Previously, some minority shareholders expressed concerns over the stock exchange ratio and the method of determining the exchange price. In response, Dongyang Life held two shareholder meetings to explain the basis and procedures for the valuation.
To minimize the exit of dissenting shareholders, Woori Financial Group raised the stock buyback price from 8,505 won to 9,356 won, a 10% increase, earlier this month.
The stock exchange ratio is set at 0.2521056 shares of Woori Financial Group for each common share of Dongyang Life Insurance. The exchange prices have been established at 34,589 won for Woori Financial Group and 8,720 won for Dongyang Life.
The securities registration statement submitted by Woori Financial Group became effective on July 16 after passing the Financial Supervisory Service's review, approximately two months after the FSS requested a corrected filing on May 26.
Woori Financial Group is also expected to hold a board meeting today to approve matters related to the comprehensive stock exchange. Dongyang Life shareholders can exercise their stock buyback rights until August 3. Following this, all shares issued by Dongyang Life will be transferred to Woori Financial Group on August 11, with new shares of Woori Financial Group expected to be listed by the end of the month.
Once the related procedures are completed and Dongyang Life is delisted from the securities market, it will officially become a full subsidiary of Woori Financial Group.
* This article has been translated by AI.
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