Tongyang Life Nears Full Integration into Woori Financial; Potential Merger with ABL Life Would Create Top 5 Life Insurer by Assets

Effectiveness of Amended Securities Registration Statement to Be Decided on July 15

Tongyang Life Insurance’s Extraordinary Shareholders’ Meeting and Woori Financial Group’s Board Meeting Set for July 24

Combined Assets Expected to Reach 53

The process of incorporating Dongyang Life Insurance as a wholly owned subsidiary of Woori Financial Group is nearing its final stages. The effectiveness of the amended securities registration statement submitted by Woori Financial Group is expected to be determined on July 15, 2026. If the Financial Supervisory Service does not request another amended registration statement, the two companies plan to complete the approval procedures on July 24 and finalize the comprehensive stock swap on August 11, 2026.

The comprehensive stock swap is regarded as a preliminary step toward the merger of Dongyang Life Insurance and ABL Life Insurance. However, details such as whether the two companies will merge, the method, and the timing have not yet been finalized. If the merger is completed in the future, the integrated entity is expected to become the fifth-largest life insurer in Korea by asset size, solidifying its position as a core non-interest affiliate of Woori Financial Group.

Overview of the Dongyang Life Insurance Headquarters in Jung-gu, Seoul. Dongyang Life Insurance

According to the financial industry on July 14, 2026, the effectiveness of the amended securities registration statement submitted by Woori Financial Group is scheduled to be decided the following day. If the Financial Supervisory Service does not require the submission of an additional amended registration statement prior to it taking effect, the comprehensive stock swap process will proceed as planned.

On July 24, Dongyang Life Insurance will hold an extraordinary general meeting of shareholders to vote on the approval of the comprehensive stock swap. As the small-scale stock swap method applies to Woori Financial Group, it will not convene a general meeting of shareholders but will instead approve the stock swap agenda at a board of directors meeting held on the same day in lieu of a general meeting.

The deadline for Dongyang Life Insurance shareholders to notify their objection to the stock swap is July 23. The period for exercising appraisal rights will run from July 24 to August 3. The scheduled date for the comprehensive stock swap is August 11, 2026.

A representative from Woori Financial Group stated, "Whether the merger of Dongyang Life Insurance and ABL Life Insurance will proceed, as well as the method and timing, are matters that require decisions by the boards of directors of both companies, and nothing has been decided yet." The representative added, "Considering the complexity of insurance company mergers, we are internally making preparations and conducting reviews for integration. Should a merger be pursued, we will follow the necessary consultation process to obtain regulatory approval from the financial authorities."

The insurance industry expects that the merger of Dongyang Life Insurance and ABL Life Insurance would strengthen their sales channel competitiveness. As of April 2026, ABL Life Insurance had 2,638 exclusive insurance agents, while Dongyang Life Insurance had 1,944. Combined, the total number of exclusive agents for both companies would be 4,582.

An official in the life insurance industry commented, "Since products mainly handled by life insurers, such as variable life and whole life insurance, are structurally complex, securing skilled sales agents is crucial. If Dongyang Life Insurance and ABL Life Insurance combine their sales channels, the integrated entity could emerge as a dark horse in the industry."

If the merger is completed, the total assets of the integrated entity are expected to rank fifth in the life insurance sector. Based on the end of the first quarter of this year, the simple sum of the two companies' total assets is estimated at about 53 trillion won, trailing just behind the largest life insurers in Korea.

A life insurance industry representative stated, "If an integrated entity of Dongyang Life Insurance and ABL Life Insurance is established, not only will its size in terms of agents and assets increase, but its sales and product development capabilities will also be enhanced. With ongoing M&A activity in the insurance sector, there are expectations that the integrated entity will act as a 'catfish,' invigorating competition in the market."

This content was produced with the assistance of AI translation services.