SEOUL, March 30 (Korea Bizwire) – The Internet bank of Kakao Corp., South Korea’s dominant chat app, is expected to win a final regulatory approval early next month, an industry source said Thursday, clearing the final hurdle for Kakao to launch the nation’s second Internet bank.
The Financial Services Commission (FSC) will hold a meeting on April 5 to grant the final approval for Kakao’s Internet bank, the source said on the condition of anonymity.
An Internet bank offers banking and financial services without any branch networks.
K-Bank, the nation’s first Internet bank, which won the final approval last December, is scheduled to launch its services on April 3.
If it wins a final approval, Kakao’s Internet bank will start its services by the first-half of this year.
With a paid-in capitalization of 300 billion won (US$269.8 million), Korea Investment Holdings Co. holds a 58 percent stake in Kakao Bank.
Kakao, Kookmin Bank, Korea Post, Netmarble and Tencent Holdings Ltd. of China are among shareholders of Kakao Bank.