14-05-2025
Woori mulls selling Seoul landmark to secure cash
Woori Financial Group is considering selling several core real estate assets, including the landmark Woori Financial Digital Tower in central Seoul, as it looks to raise capital for subsidiary acquisitions and improve its financial footing.
The banking group is reviewing a potential sale of the 22-story building, located on a 2,247-square-meter plot across from its headquarters in Hoehyeon-dong, Jung-gu — one of Seoul's busiest commercial zones north of the Han River — according to industry sources on Wednesday.
A Woori official confirmed the move, saying the sale is among several options under review to improve asset efficiency and secure capital for expansion.
Woori acquired the building in July 2019 for about 210 billion won ($148.2 million). While no official valuation has been disclosed, its value is estimated to exceed 300 billion won, based on office pricing in the Central Business District, which is assessed by industry watchers at over 30 million won per 3.3 square meters.
The tower currently houses the group's digital business units and affiliates, with a sale-and-leaseback arrangement among the options under consideration, the official added.
The group also seeks to sell its corporate training center in Anseong, Gyeonggi Province. The facility was valued at approximately 34 billion won earlier this year.
In addition, more than a dozen vacant bank branches in Seoul and other regions have been put up for public auction, with a combined minimum value of about 224 billion won.
Woori's large-scale real estate divestment comes as the group pushes deeper into the insurance sector.
Last August, it signed a deal to acquire a 75 percent stake in Tongyang Life Insurance and full ownership of ABL Life Insurance for a combined 1.5 trillion won. On May 2, the Financial Services Commission granted final approval to incorporate the two insurers as subsidiaries, conditional on the group significantly strengthening its financial soundness and internal controls.
Woori aims to raise its Common Equity Tier 1 ratio — a key measure of capital adequacy — as it continues to trail peers. Its CET1 ratio stood at 12.42 percent at end-March, up from 12.08 percent at the end of 2024, but still below the 13-percent level maintained by Korea's three other major financial groups. The group is targeting a CET1 ratio above 13 percent by 2027, the deadline set by regulators as part of the conditional approval.
