Kyobo, Affinity consortium lock horns at ICC arbitration over put option
Posted : 2021-03-16 09:11
By Lee Kyung-min
A five-day hearing in the International Chamber of Commerce (ICC) arbitration between Kyobo Life Insurance Chairman Shin Chang-jae and the company s financial investors ― represented by a consortium led by Affinity Equity Partners, a Hong Kong-based private equity firm ― was concluded, but it will still be at least six months before a decision is made, according to market sources, Sunday.
The five-day hearing from March 15 through 19 ― the second since the first one held last October ― was part of the arbitration process to determine whether the consortium can exercise a put option at nearly double the price Shin is willing to pay, concluding the outcome of a years-long dispute that dates back to 2012. A put option is a contract giving the owner the right to sell ― or sell short ― a specified amount of an underlying security at a pre-determined price
Kyobo embarrassed over questionable plot by Affinity
Posted : 2021-03-10 16:53
By Lee Min-hyung
Kyobo Life Chairman Shin Chang-jaeKyobo Life Insurance remains embarrassed over what is widely considered to be a questionable attempt by Affinity Equity Partners, after legal representatives of the Hong Kong-based private equity firm sought a provisional attachment of the insurer s assets by forcing entry into the residence of a chief of the Korean company and its headquarters.
In mid-February, a Seoul court granted permission for the Affinity consortium ― which is a financial investor of Kyobo ― to carry out the provisional seizure of Kyobo Life Chairman Shin Chang-jae s securities certificate of the company.
Kyobo urges regulator to launch investigation into Anjin
Posted : 2021-02-16 16:19
Updated : 2021-02-16 21:19
Kyobo Life Insurance Chairman Shin Chang-jae delivers a speech during the firm s New Year seminar at its headquarters in Seoul on Jan. 8. Courtesy of Kyobo Life Insurance
By Lee Min-hyung
Kyobo Life Insurance has urged the nation s financial authorities to investigate Deloitte Anjin accountants over their suspicious internal trading with a client ― Hong Kong-based Affinity Equity Partners ― the life insurer said Tuesday.
Kyobo and its financial investor ― an Affinity-led consortium ― are in a months-long legal dispute regarding Anjin s alleged involvement in apparent accounting fraud by manipulating Kyobo s corporate value at the request of the client.
Affinity drops lawsuit against Kyobo
Posted : 2021-02-02 15:51
By Lee Min-hyung
Kyobo Life Insurance Chairman Shin Chang-jaeA consortium ― led by Affinity Equity Partners ― has dropped a lawsuit against Kyobo Life Insurance Chairman Shin Chang-jae, a questionable move taken by the Hong Kong-based private equity firm (PEF) amid their deepening legal dispute.
Speculations are that the Affinity consortium, which is a financial investor in Kyobo, aims to focus on the upcoming settlement by the International Chamber of Commerce (ICC) at a time when Korea s prosecution last month indicted two officials from the consortium for their suspicious internal trading with Deloitte Anjin. The prosecution is looking into whether Affinity and Deloitte colluded to distort Kyobo s estimated pre-initial public offering (IPO) stock price.
Kyobo gains edge in battle with Deloitte
Posted : 2021-01-20 16:56
Updated : 2021-01-20 17:31 Kyobo Life Insurance Chairman Shin Chang-jae, left, and Deloitte Anjin CEO Hong Jong-sung / Courtesy of each firm
By Lee Min-hyung
Kyobo Life Insurance has gained an edge in a months-long legal dispute with Deloitte Anjin, after prosecutors indicted three Deloitte accountants for allegedly colluding with the insurer s financial investors to distort Kyobo s estimated stock price before its initial public offering (IPO).
Kyobo expected prosecutors to have discovered evidence of the alleged collusion between the accountants and executives of the consortium.
The legal battle started in April 2020 when Kyobo accused the accounting firm of unfairly and insincerely valuating the insurer at the request of a consortium led by Affinity Equity Partners. The consortium is Kyobo s second-largest shareholder, which acquired a 24.01 percent stake in the insurer in 201