Tencent, eBay join Kakao bid for new South Korean Internet bank

Reuters News
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Posted: Sep 30, 2015 10:27 PM

SEOUL (Reuters) - Kakao Corp, the operator of South Korea's largest mobile messaging app, said Tencent Holdings Ltd and eBay Inc have joined its bid for a new South Korean Internet bank license.

Tencent and eBay will make their investments through subsidiaries, which are expected to take stakes of 4 percent or less in the bank should a license be gained, a Kakao spokesman said. He declined to comment on financial terms.

South Korea is expected to grant one or two licenses for Internet banks this year. Kakao's bid is one of at least three known bids.

An Internet bank provides banking and financial services without physical branches.

(Reporting by Joyce Lee; Editing by Edwina Gibbs)