Woori Bank enters low-cost phone business, teams up with LGU+ (South Korea)

LG U+ (LGU+), a telecommunications company, announced that it has signed a business partnership with Woori Bank to cooperate in the MVNO (Mobile Virtual Network Operator) business.
Woori Bank will be the second bank to operate an MVNO (low-cost phone) business after KB Kookmin Bank. Woori Bank initially acquired low-cost phones from the three major telecommunications companies, SK Telecom (SKT), KT, and LGU+.
The bank received a proposal for expansion, but the partnership was reached when LGU+ responded to the bank's requests, including the dispatch of personnel.
LGU+ and Woori Bank have jointly formed a task force with the goal of starting operations within the year.
The two companies have organized a forum to discuss details. Through this business alliance, the two companies will develop differentiated communication products and services in conjunction with financial products to secure new customers, and will also work to build and operate an MVNO system in a stable manner.
The two companies will work together to create a sustainable collaboration model and to expand cooperation. An LGU+ official said, "We hope that Woori Bank will expand its main customer base for financial transactions through telecommunications and provide differentiated services.
"We will continue to develop these services and will provide support to Woori Bank in its efforts to expand its target demographic that utilizes digital services."