Multinational bank Shinhan Financial Group (SFG) quit a consortium now led by Toss-owner Viva Republica to apply for a online-only banking licence in South Korea, The Korea Herald reported.
SFG decided to leave the partnership only a month after signing a memorandum of understanding with Viva Republica. The two had planned to add other parties to the group, though the final list of associates has not been confirmed.
Differences between the former partners are said to centre on critically divergent opinions on the business model and range of services to be offered.
Viva Republica, which operates popular mobile payments platform Toss in South Korea, told the newspaper it would press on with plans to apply for a licence with other partners. SFG said it hoped to be able to “help” the business it described as Toss Bank consortium.
Another group including SK Telecom is also planning to apply to be the country’s third online-only bank. South Korea already has two licensed internet banks: KT-backed K-bank; and Kakao Bank, operated by mobile messaging company Kakao.Subscribe to our daily newsletter Back