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Lone Star could make block sale of KEB shares: KEB

SEOUL
Wed Jul 2, 2008 9:10pm EDT

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SEOUL (Reuters) - U.S. private equity house Lone Star LS.UL could offer shares in Korea Exchange Bank (KEB) (004940.KS) in a block sale if the pending $6.3 billion deal to sell control of KEB to HSBC (HSBA.L) falters, KEB chief executive said on Thursday.

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"It's certainly an alternative for Lone Star. They are under pressure from shareholders," Richard Wacker, KEB CEO, told reporters on the sidelines of a bank ceremony, when asked about a possible block sale of KEB shares by the investment firm.

"If there is no progress, they have their own choice."

But Wacker said that KEB did not want a block sale of its shares to happen, adding that the South Korean bank was fully committed to getting the HSBC purchase closed.

(Reporting by Kim Yeon-hee; Editing by Keiron Henderson)



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