Hanmi Financial Corp. and Woori Finance Holdings Co. have called off a long-delayed deal where Woori would have invested $210 million in Hanmi.
In May 2010, Woori, which is largely owned by the South Korean government, said that it would invest in Hanmi, which is based in Los Angeles. Observers said at that time that the deal would face intense regulatory scrutiny.
Woori and the $3 billion-asset Hanmi had pushed back the deadline several times, though talks continued at least through January, when the most recent deadline passed.
The companies on Thursday entered into a "memorandum of business alliance" where they will collaborate on international trade finance and correspondent banking for international remittances. They companies will also work on personnel training and referring. Hanmi also agreed to share information about possible capital investments when legally permitted.