Hanwha Investment & Securities, under the wings of South Korea's defense-to-energy conglomerate Hanwha Group, announced Thursday, that it has completed the acquisition of Indonesia’s Ciptadana Securities.

Completion of the deal comes over a year after the brokerage house signed an underwriting agreement to acquire an 80 percent stake in Ciptadana Securities for around 49 billion won ($35.7 million) in June 2023. It won final approval from the Indonesian financial authorities last month.

Ciptadana Securities is a mid-sized brokerage firm in Indonesia under the country's sixth-largest conglomerate Lippo Group, with businesses spanning finance, real estate and retail.

Along with the investment in Ciptadana Securities, Hanwha Investment & Securities also agreed to acquire an 80 percent stake in Ciptadana Asset Management for 16.5 billion won. The acquisition is to happen within the next year as it awaits approval from the local financial authorities, Hanwha Investment & Securities explained.

Hanwha Group has been strengthening its partnership with Lippo Group, aiming to expand its financial affiliates’ presence in the Southeast Asian market.

The group’s insurer Hanwha Life has made investments in commercial lender Nobu Bank. It also acquired a stake in Lippo General Insurance in cooperation with its affiliate Hanwha General Insurance. Both Nobu Bank and Lippo General Insurance were under the control of Lippo Group.

Hanwha Life Chief Global Officer and President Kim Dong-won and Lippo Group CEO John Riady are known to have maintained friendly ties for years, having been sighted together at the Davos Forum in January as well.

Indonesia is a market expected to show sharp growth in digital financing, backed by its large and relatively young population, Hanwha Investment & Securities explained. Indonesia is the fourth most populous country in the world, with a population of more than 270 million.

“Ciptadana Securities will play an important role in the growth of the digital financing market in Indonesia,” Hanwha Investment & Securities CEO Hahn Doo-hee said.

“Hanwha Investment & Securities will put in all efforts as the largest shareholder and partner of Ciptadana Securities for it to become a leading global finance firm, representing Southeast Asia.”