Advised Korea Investment Management on Establishment of Korea Investment Real Asset Management through Vertical Spin-off
2022.08.12.
Yulchon successfully advised Korea Investment Management Co., Ltd., a comprehensive asset manager in Korea, on its project to establish Korea Investment Real Asset Management Co., Ltd. through a vertical spin-off of its alternative investment business, which will focus on alternative investment strategy.
This project involves a spin-off of a financial investment company which involves government approvals in various stages of the transaction as well as complex legal issues. Yulchon provided comprehensive advice so that the spun-off business may conduct its business without cessation, including the advice on spin-off procedures under the Korean Commercial Code, approval of spin-off of a financial investment company under the Financial Investment Services and Capital Markets Act, permits and licenses of collective investment business, general private collective investment business, investment advisory business and discretionary investment business for a new asset management company, and registration as foreign exchange agent under the Foreign Exchange Transaction Act.
In particular, this project is the first case in Korea where a comprehensive asset manager established its wholly-owned comprehensive asset management company through a vertical spin-off, and Yulchon successfully found the optimum solution through close communications with and proactive persuasions of supervisory authorities. This project is highly notable in that it will become a precedent that other asset managers may consider when they change their governance structure.
