SEOUL, South Korea (AP) — HSBC Holdings PLC remains committed to acquiring Korea Exchange Bank, the head of its South Korean unit said yesterday.

"We have extended (the acquisition deadline) until July and we are hopeful that the government will take appropriate action," HSBC Korea chief executive Simon Cooper said.

In late April, HSBC agreed to extend the deadline for the completion of its proposed acquisition of a majority stake in KEB to July 31 from April 30.

It is seeking to buy a 51.02-percent stake in KEB — South Korea's sixth-largest bank by assets — from Dallas, Texas-based Lone Star Funds.

"KEB is a good fit with HSBC, offering a valuable platform and scope for growth," Cooper said.

Last year, London-based HSBC announced plans to acquire Lone Star's 51-percent controlling stake in Korea Exchange Bank pending regulatory and government approval in a case closely watched by foreign investors in South Korea.

Previous efforts by Lone Star to sell its stake in KEB have been stymied by various legal disputes, compounded by negative sentiment in South Korea toward foreign investors.