Tong Yang Securities to buy U.S. merchant bank

By Lee Minji
SEOUL, May 4 (Yonhap) -- Tong Yang Securities Inc., a South Korean brokerage house, said Wednesday it has signed an agreement to acquire a New York-based merchant bank in a bid to boost its global presence.
Under the deal, Tong Yang Securities will take over Esae Capital Partners (ECP) LLC and seek to expand its global investment banking business utilizing ECP's client network, it said in an e-mailed statement.
Tong Yang Securities did not disclose how much it will pay for ECP, which was established in 2008.
Tong Yang Securities said it plans to finalize the deal after conducting a due diligence on ECP. The transaction, expected to be concluded in May, is subject to regulatory approval in both countries.
Tong Yang Securities said it also aims to attract more foreign institutional investors to the South Korean market and launch a stock brokerage business in the U.S. in the long term.
"Tong Yang Securities plans to engage in U.S. stock brokering and tap other business sectors such as mergers and acquisitions, and investment banking," company CEO Yoo Joon-ryeol said.
The South Korean brokerage has six overseas units and offices, including wholly owned subsidiaries in Cambodia, Hong Kong and the Philippines.
mil@yna.co.kr