[THE INVESTOR] Samsung SRA Asset Management, a consortium of financial divisions of Samsung Group, has been named as the preferred bidder to take over Germany's Commerzbank's headquarters in Frankfurt, the tallest office building in Europe, according to industry sources on Aug. 12.

 

The second largest German bank has chosen Samsung SRA, which offered 900 billion won (US$817.34 million), over Korea Investment Securities and Singapore’s sovereign wealth fund GIC.

SRA is a wholly owned subsidiary of Samsung Life Insurance also funded by Samsung Securities and Samsung Fire & Marine Insurance, and will fund the acquisition with its blind fund for real estate investment as well as Samsung Securities’ 150 billion won acceptance financing.

Commerzbank invested 350 billion won to become the majority stakeholder of Korea Exchange Bank in 1998, shortly after the foreign exchange crisis in South Korea, and sold off its stake to Lone Star in 2003 for a 600 billion profit. It will sell and lease back the building.

By Hwang You-mee (glamazon@heraldcorp.com)