KB Securities said on Jan. 29 that it signed a strategic memorandum of understanding (MOU) on Jan. 19 with global investment firm SC Lowy to create financial synergies in real estate and corporate finance.
According to KB Securities, SC Lowy is a global credit-focused financial group headquartered in Hong Kong. It is known as an investment firm with unrivaled expertise in private credit and special situations investing. In Korea, it began by acquiring Joeun Savings Bank in 2013, established its Korean subsidiary in 2020, built an early foothold in the domestic market, and has recently continued an active investment drive.
Through this agreement, KB Securities and SC Lowy plan to strengthen strategic cooperation beyond simple co-investment, aiming to enhance qualitative growth and stability in Korea's real estate and corporate finance markets.
The two companies plan to craft a precise joint response strategy in areas including: ▲ supporting the normalization of real estate project financing (PF) business sites that have business potential but face temporary asset stagnation ▲ acquiring nonperforming loans and enhancing asset values ▲ restructuring investments targeting corporations that need financial solutions. Through this, they intend to turn market uncertainty into opportunity and proactively secure a high-quality portfolio with minimized risks.
In particular, in Sep. 2024, SC Lowy launched a Korea-dedicated real estate lending fund with the Abu Dhabi Investment Authority (ADIA), one of the world's largest sovereign wealth funds, and the fund proved its management capability by delivering tangible results, including investing in construction payment claims for the Seoul "BRIGHTEN Yeouido" mixed-use building shortly after its launch.
A KB Securities official said, "SC Lowy's credit investment know-how, proven in global markets, and KB Securities' financial solution capabilities will create strong synergies," adding, "We will continue to unearth new investment opportunities not only in real estate finance but also in corporate finance areas that need liquidity supply."