By Lee Chi-dong
Staff Reporter

Kookmin Bank has been fully privatized as the government has sold off its entire 9.1-percent stake in the country’s biggest lender.

The Ministry of Finance and Economy officials announced on Friday they disposed of the 30 million shares for 1.33 trillion won through an auction. The share was priced at 43,424 won.

Kookmin Bank bought back 27 million shares, and the remainder was sold to 10 local and foreign investors.

Kookmin Bank owns 9.05-percent stake. ING owns 3.78 percent and Goldman Sachs owns 1.15 percent.

``However, we will seek to resell some of the newly-acquired stake to other investors, in accordance with market conditions,’’ a Kookmin official said.

Market watchers expect the deal will give more clout to the Dutch financial group ING and other foreign shareholders, whose combined stake reaches 72.36 percent.

Kookmin Bank will be free from state audits and its president Kim Jung-tae also finds himself with a boost in power as independent manager.

The government has long sought to sell off its stake in Kookmin Bank to raise 1.6 trillion won. The lender has also been eager to enhance its image as an independent institution.

Initially, the government estimated 1.6 trillion won in revenue through the sale of Kookmin Bank, but the actual price was lowered because Kookmin shares have recently performed poorly. Its shares yesterday closed at 44,100 won, up 5.13 percent from a day earlier on back of expectations for the bidding.

lcd@koreatimes.co.kr