Woori Financial Group decided to raise by 10% the appraisal price for stock purchases requested by minority shareholders of Tongyang Life Insurance who opposed the stock exchange. Woori Financial Group is pushing to make Tongyang Life Insurance a wholly owned subsidiary through a stock exchange. As some Tongyang Life Insurance minority shareholders protested that the stock exchange price was set too low, it appears the group prepared compensation measures.
On the 3rd, Woori Financial Group disclosed a corrected securities registration statement including this update. According to the disclosure, the Tongyang Life Insurance board decided to raise the price for the appraisal right granted to Tongyang Life Insurance shareholders opposing the comprehensive stock exchange to 9,356 won, a 10% premium from the current 8,505 won.
In April, when Woori Financial Group decided on the comprehensive stock exchange with Tongyang Life Insurance, it set the exchange prices at 34,589 won for Woori Financial Group and 8,720 won for Tongyang Life Insurance. The stock exchange ratio was 0.2521056 share of Woori Financial Group common stock per 1 share of Tongyang Life Insurance.
Tongyang Life Insurance minority shareholders had expressed dissatisfaction that the acquisition price offered to minority shareholders was far too low compared with Woori Financial Group's acquisition price for the major shareholder (10,562 won).
A Tongyang Life Insurance official said, "We corrected the securities registration statement in this way to strengthen shareholder protection."