[THE INVESTOR] South Korea’s top financial regulator reaffirmed the government’s commitment to privatize state-run Woori Bank but only when a sufficient number of potential bidders are secured.

“The successful sale of Woori Bank depends on market demand,” said Yim Jong-yong, chairman of Financial Services Commission on Aug. 10. 

The government’s attempts to sell a controlling stake in Woori Bank collapsed four times between 2010 and 2014 after a combination of stringent regulations and weak business prospects turned off an already small pool of potential investors.

The state-run Korea Deposit Insurance Corp, which currently owns a 51 percent stake in Woori Bank, is seeking to sell 31.06 percent stake.

Yim said that the government is mulling dividing the stake into smaller pieces and selling them to multiple investors rather than pursuing a block sale.

“The sale process will be determined after completing research on the market demand,” he said.

Regarding China’s Anbang Insurance Group which is said to have expressed interest in buying about a 10 percent stake in the Korean bank, Yim said that no contact has been made with the insurer over the deal.

By Park Han-na (hnpark@heraldcorp.com">hnpark@heraldcorp.com)