Hecto Financial Thrives Through South Korean Value-Up Program

The South Korean government has initiated the 'Value-Up Program' to elevate the worth of Korean companies and foster shareholder appreciation. This program aims to empower companies listed on the KOSPI and KOSDAQ stock exchanges to enhance their corporate value independently. Incentives like tax benefits and accolades are offered to firms that contribute to this objective.

Hecto Financial, a leading TechFin company specializing in electronic payments and payment gateways, is a prominent beneficiary of the Value-Up Program. The company, along with its parent organization Hecto Innovation, has introduced a shareholder return strategy involving share repurchases and a cash dividend equivalent to 25% of net profits. With an annual payment volume exceeding KRW 200 trillion, Hecto Financial plays a crucial role in South Korea's electronic payments sector.

One of Hecto Financial's key strengths lies in its dominance in Account-to-Account (A2A) transactions, which facilitate seamless fund transfers between different financial institution accounts, catering to a large portion of individuals with financial accounts in South Korea.

Originally established in 2000 as SettleBank, Hecto Financial was a trailblazer in virtual accounts and online banking systems. The company has garnered a significant market share in e-commerce and various domestic sectors due to its robust partnerships with South Korean banks.

In addition to A2A transactions, Hecto Financial is recognized for its collaboration with diverse payment methods and its ability to provide tailored services. Holding origin rights for major payment methods in South Korea, such as card payments and direct carrier billing, underscores its leading position in the payment industry.

With the backing of the government's Value-Up Program, Hecto Financial and similar entities in South Korea's financial technology sector are poised for sustained growth and value appreciation. The alignment of governmental policies with industry strengths is set to optimize investor value in Hecto Financial in the upcoming period.

The 'Value-Up Program' introduced by the South Korean government is paving the way for enhanced corporate value and shareholder appreciation in the country's business landscape. Companies like Hecto Financial are leveraging this initiative to strengthen their positions and drive growth in the financial technology sector, ultimately benefiting investors and contributing to the economy's prosperity.