S. Korea's KB Kookmin Bank raises stake in Indonesia's Bank Bukopin to 67%

KB Kookmin Bank would acquire an additional 45-percent stake in Bank Bukopin, raising its share to 67 percent by the end of August to become the largest shareholder in the Indonesian bank.

The South Korean bank did not divulge the stake purchase cost.

In 2018, KB Kookmin Bank acquired a 22-percent stake in Bank Bukopin, which recently experienced bank runs due mainly to growing cash withdrawals amid the coronavirus pandemic.

The news of KB Kookmin Bank, the flagship unit of KB Financial Group, becoming the majority shareholder has stabilized withdrawals at Bank Bukopin.

Bosowa Corp., an Indonesian conglomerate, holds a 23.4-percent stake in Bank Bukopin.

Late last year, KB Kookmin Bank acquired a 70 percent stake for $603 million in Prasac Microfinance Institution Ltd. in Cambodia. It plans to take the remaining 30 percent stake in Prasac in the next two years.