JB Financial Group announced on December 21 that it has signed a strategic investment agreement to partner with Hanpass, a cross-border remittance platform for foreigners, following a strategic investment agreement with financial comparison platform Finda in July.
The investment will involve JB Financial Group, Jeonbuk Bank, and JB Investment, each of which will acquire a 5% stake in Hanpass, and JB Financial Group will acquire a 15% stake in Hanpass, making it the second-largest shareholder. Meanwhile, Hanpass will utilize a portion of JB Financial Group's investment to purchase JB Financial Holding's shares in the market.
Founded in 2017, Hanpass is a fintech company specializing in small-scale overseas remittances, and has grown into a major domestic foreign remittance platform with about 570,000 foreign customers, 140,000 MAUs, and an annual remittance volume of about 1.4 trillion won in 22 years. Hanpass plans to pursue an initial public offering (IPO) based on its competitive services and sustainable growth.
JB Financial Group, which has been expanding its financial business for foreigners centered on Jeonbuk Bank, plans to secure competitiveness in the foreign loan market based on its strategic partnership with Hanpass, which has a solid customer base among foreign platforms, and strengthen its foundation as a comprehensive financial company for foreigners by launching financial products exclusively for Hanpass foreign customers and expanding digital financial services for foreigners.
JB Financial Group Chairman Kim Ki-hong and Hanpass CEO Kim Kyung-hoon attended the signing ceremony and pledged active cooperation for mutual synergy.
"As the innovation and growth of the Korean fintech industry is rapidly changing, it is becoming increasingly important for fintech companies to expand their services through partnerships with financial institutions," said Kim Kyung-hoon, CEO of Hanpass. "Through strategic collaboration with JB Financial Group, we will not only improve financial services in various areas such as foreign remittances, payments, and life services, but also promise continuous cooperation through the purchase of mutual stakes and seek mutual growth."
"In the increasingly competitive domestic financial environment, Banking as a Service (BaaS) through fintech platforms is expected to expand further, and mutual cooperation between financial groups and fintechs will provide a new foundation for shared growth," said Kim Ki-hong, Chairman of JB Financial Group. "Following our strategic partnership with Finda in July, this strategic investment in Hanpass will solidify JB Financial Group's digital ecosystem for shared growth with fintechs."
