KB Kookmin Card said Friday that it has received approval from Cambodia’s Ministry of Commerce to merge its two local subsidiaries -- auto finance firm KB Daehan Specialized Bank and leasing company i-Finance Leasing.

Under the merger, iFL will be integrated into KDSB, with the new entity retaining the name KB Daehan Specialized Bank to leverage its brand recognition.

“By merging our Cambodian subsidiaries, we have established a foundation for sustainable growth in the global market,” said a company official. “We aim to strengthen our position as a leading specialized bank in the Cambodian market.”

Since acquiring KDSB in 2018, KB Kookmin Card has steadily expanded its presence in Cambodia. In 2022, the Korean card firm and KDSB fully acquired iFL.

KDSB specializes in automobile installment financing, while iFL holds a leasing license in its business portfolio. Following the merger, the newly integrated company will reorganize its product offerings and combine leasing and loan services. It aims to provide comprehensive mobility financing solutions to cover automobiles, motorcycles and agricultural machinery.

The integration is expected to enhance KDSB’s product portfolio as it can incorporate iFL's leasing services and expand its reach into local districts. KB Kookmin Card anticipates that the services tailored to local customers’ credit profiles and preferences will broaden its customer base.