South Korean securities firms have upped the ante in a race to win the country’s investment banking (IB) market next year after aggressive business reorganization and management reshuffles.
According to the Korean IB industry on Monday, KB Securities Co. has named Joo Tae-young, a veteran who made KB Securities a powerhouse in the country’s debt capital market (DCM), the head of the IB Division and the IB1 Group.
With Joo’s appointment, Korea’s No. 1 DCM player is expected to drive the ascent of its equity capital market (ECM) business. Joo has led the DCM division, the IB1 Group, since last year.
KB Securities dominated Korea’s capital market deals, including both equity and debt sales worth 1.06 trillion won and 13.47 trillion won, respectively, in the first nine months of this year.
KB Securities’ archrival NH Investment & Securities Co. has also reorganized its IB business.
It promoted Lee Sung, head of IB1 Business Division, to executive director from managing director during a year-end reshuffle this year. Lee has led NH Investment’s IB business to leap to one of the top DCM players in Korea in the last 20 years.
NH Investment has also launched a global syndication team to bolster the sale of foreign currency-denominated corporate bonds, and the new syndication division will be led by Cho Hyun-kwang, the current head of the Industry 3 Division.
Their smaller rival Meritz Securities Co. has also joined a race to enhance the IB business with a recruitment of talent from outside the company.
Kim Mi-jeong, executive director overseeing BNK Securities Co.’s IB business, is expected to join Meritz soon, while other seasoned IB experts are also expected to join, said IB industry sources.
Korea Investment & Securities Co. and Samsung Securities Co. have shaken up their IB divisions.
Korea Investment has replaced the head of the IB1 Division in charge of initial public offering deals with Deputy Managing Director Bang Han-cheol from Managing Director Choi Sin-ho.
Bang has an impressive track record of leading IPOs at his previous and current companies.
Samsung Securities has also promoted Lee Gi-deok, the current head of the Capital Market Division, and Park Seong-ho, the head of the M&A Division, to managing director during this year’s end-year reshuffle.
Considering that Samsung Securities promoted only five executives to managing director position this year, their promotion underscores the company’s strong focus on IB business.
By Hyun-Ju Jang
blacksea@hankyung.com
Sookyung Seo edited this article.
