Taipei Fubon Bank has announced a strategic move to bolster its digital financial services by increasing its investment in LINE Bank. The bank's board of directors has approved a cash capital increase for LINE Bank, with Taipei Fubon committing up to NT$1.755 billion. This decision is part of the bank's response to the inclusive finance policy and aims to enhance digital financial services.
Upon receiving regulatory approval, Taipei Fubon's shareholding in LINE Bank will rise from 27.18% to 29.16%. The total capital increase for LINE Bank amounts to NT$5 billion, which will be used to strengthen its capital structure and expand its asset portfolio.
Taipei Fubon Bank expressed optimism about the growth potential of internet-only banks, citing innovations driven by digital technology as key factors. "This capital increase not only continues the existing strategic direction but also demonstrates Taipei Fubon Bank's commitment to supporting financial technology innovation and the development of inclusive finance," stated the bank.
Since starting operations on April 22, 2021, LINE Bank has shown significant market presence with increasing accounts and deposit balances. By December 2024, it had reached 2.01 million digital accounts and maintained a deposit-to-loan ratio of 78.37%.
LINE Bank's primary customer base consists largely of younger individuals, with an average age of 34.9 years and a notable segment under age 39 accounting for 70% of users.
The bank is expanding its service offerings beyond deposits and credit loans to include foreign exchange, trust services, fund sales, insurance agency work, and online insurance. Collaborations have been launched with subsidiaries of Fubon Financial Holdings such as Fubon Securities and Fubon Insurance.
Looking ahead, Taipei Fubon remains committed to integrating virtual and physical channels while enhancing personalized financial services through digital technology alongside LINE Bank.