ID :
41453
Mon, 01/19/2009 - 12:01
Auther :
Shortlink :
https://www.oananews.org//node/41453
The shortlink copeid
Private equity fund Blackstone eyes branch in Korea
SEOUL, Jan. 19 (Yonhap) -- Blackstone, a leading global private equity fund, plans to open a Korean office "sooner or later" as it prepares to make a full-fledged entry to the South Korean market, a finance ministry official said Monday.
The move would follow a memorandum of understanding signed last October between
Blackstone and the National Pension Service, South Korea's largest institution
investor, under which both pledged to invest US$2 billion each in local stocks,
properties and other assets.
The New York-based Blackstone is one of the world's leading alternative asset
managers with a total of $116.3 billion worth of assets under its management as
of Sept. 30, 2008, according to its official website.
"The fund is highly interested in South Korean assets and technically considering
expanding its presence here," the official said on condition of anonymity. "As
far as I'm concerned, the fund is considering setting up a local branch in Korea,
meaning that it will pay taxes on profits earned from the local market."
Blackstone was intending to make a foray into South Korea through tax haven
countries but its stance seems to have "changed" recently, he added.
Blackstone officials could not be reached for comment. A spokesperson at the
pension fund said that he doesn't know about the plan.
Earlier in the day, a local economic daily Maeil Business Newspaper reported
Blackstone will open a branch office in Korea capitalized at around $6 million
"within this month at the earliest," citing unnamed multiple sources.
The Blackstone entry comes as South Korea's assets including stocks and
properties plunged last year in the face of global financial turmoil.
Foreign wealth funds and private equity firms are reportedly weighing investment
opportunities here after stocks plunged around 40 percent last year alone.
On Thursday, the finance ministry said it is considering revising laws aimed at
allowing its sovereign wealth fund to jointly invest in the local stock market in
cooperation with overseas funds, which are showing increasing interest in local
stocks.
kokobj@yna.co.kr
(END)
The move would follow a memorandum of understanding signed last October between
Blackstone and the National Pension Service, South Korea's largest institution
investor, under which both pledged to invest US$2 billion each in local stocks,
properties and other assets.
The New York-based Blackstone is one of the world's leading alternative asset
managers with a total of $116.3 billion worth of assets under its management as
of Sept. 30, 2008, according to its official website.
"The fund is highly interested in South Korean assets and technically considering
expanding its presence here," the official said on condition of anonymity. "As
far as I'm concerned, the fund is considering setting up a local branch in Korea,
meaning that it will pay taxes on profits earned from the local market."
Blackstone was intending to make a foray into South Korea through tax haven
countries but its stance seems to have "changed" recently, he added.
Blackstone officials could not be reached for comment. A spokesperson at the
pension fund said that he doesn't know about the plan.
Earlier in the day, a local economic daily Maeil Business Newspaper reported
Blackstone will open a branch office in Korea capitalized at around $6 million
"within this month at the earliest," citing unnamed multiple sources.
The Blackstone entry comes as South Korea's assets including stocks and
properties plunged last year in the face of global financial turmoil.
Foreign wealth funds and private equity firms are reportedly weighing investment
opportunities here after stocks plunged around 40 percent last year alone.
On Thursday, the finance ministry said it is considering revising laws aimed at
allowing its sovereign wealth fund to jointly invest in the local stock market in
cooperation with overseas funds, which are showing increasing interest in local
stocks.
kokobj@yna.co.kr
(END)
