NEW YORK (

TheStreet

) --

Hana Financial Group Inc

is buying a 51% stake in

Korea Exchange Bank

from

Lone Star Funds

, according to a report by

The Wall Street Journal

.

The report says

Lone Star's stake rings in at about $3.8 billion.

The move would block

Australia & New Zealand Banking Group

( ANZ) from buying the stake. ANZ has been conducting due diligence on Korea Exchange Bank with hopes of expanding its presence in East Asia through a potential buyout.

If Hana does acquire the stake in Korea Exchange bank it will not likely make a bid for the South Korean government's 57% stake in

Woori Finance Holdings

(WF) - Get Report

.

--Written by Maria Woehr in New York.

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Maria Woehr

.

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