ANZ denies reports it lost in Korea bid

SYDNEY - ANZ Banking Group says it is still in the running to buy Korea Exchange Bank, denying media reports that it had lost out to another bidder.

ANZ "is continuing to participate in a due diligence process in relation to the potential sale of a 57.27 per cent shareholding in Korea Exchange Bank (KEB)", the Australian lender said yesterday.

The Wall Street Journal reported that Lone Star Funds had agreed to sell its 51 per cent stake in KEB to South Korea's Hana Financial Group in a surprise deal that would need regulatory approval.

While full terms of the deal were not known, Hana would likely pay a premium of 10 per cent or more to the current market value, the Wall Street Journal quoted a person close to the transaction as saying.

Hana said it would make a decision next week.

- AAP