It has been confirmed that Heungkuk Fire&Marine Insurance, OK Financial Group, JC Flowers, and Korea Investment Holdings participated in the second main bid for YeByeol Non-Life Insurance, the bridge insurer for MG Non-Life Insurance.
According to the financial industry on the 30th, four bidders submitted letters of intent for the main bid for YeByeol Non-Life Insurance, which closed at 3 p.m. that day. Earlier, Heungkuk Fire&Marine Insurance, Kyobo Life Insurance, OK Financial Group, Korea Investment Holdings, and the private equity fund JC Flowers were said to have shown interest in the main bid. Kyobo Life Insurance did not participate in the main bid.
The Korea Deposit Insurance Corporation (KDIC) plans to review the acquisition prices proposed by the corporations that submitted letters of intent and the adequacy of their documents. If it determines there are no issues in this process, it plans to select a preferred negotiation partner that offered a higher acquisition price through a competitive bid.
MG Non-Life Insurance has attempted to sell five times since 2022, but all deals fell through. Last year as well, Meritz Fire & Marine Insurance was selected as the preferred negotiation partner but the deal did not reach completion. In the main bid on Apr. 4, only Korea Investment Holdings participated, and the bid was voided under the National Contract Act.
Under an agreement with the MG Non-Life Insurance labor union last year, the KDIC proceeded with a final attempt to sell YeByeol Non-Life Insurance this year. If the sale falls through again, all contracts held by YeByeol Non-Life Insurance will be transferred to the five major non-life insurers (Samsung Fire & Marine Insurance, Meritz Fire & Marine Insurance, DB Insurance, KB Insurance, and Hyundai Marine & Fire Insurance).