Kamco Signs Business Agreement with Busan District Court to Support Rehabilitation Companies' Recovery

[Asia Economy Reporter Kwangho Lee] Korea Asset Management Corporation (KAMCO) announced on the 22nd that it signed a "Business Agreement for Efficient Support of Rehabilitation Companies' Restart" with the Busan District Court at the Busan District Court General Building.

This business agreement was prepared to help rehabilitation companies recommended by the court, which have competitiveness but face difficulties in raising funds in the financial market, to restart their businesses.

Going forward, both organizations will cooperate to support the normalization of management by recommending target rehabilitation companies, providing loans to rehabilitation companies, supporting asset purchase and lease programs, and matching private investments.

Meanwhile, KAMCO plans to proactively identify companies to support through its own monitoring of rehabilitation companies other than those recommended by the court, and assist rehabilitation companies in a direction that supports management normalization rather than focusing on debt recovery through consultations with creditors and other stakeholders.

To this end, KAMCO plans to strengthen financial support for small and medium-sized and rehabilitation companies through the "Package-type Rehabilitation Company Financial Support Program" of its subsidiary, KAMCO Corporate Support Finance Co., Ltd. As of the end of last year, about 36.3 billion KRW was supported to 52 companies.

Moon Sung-yoo, President of KAMCO, said, "Among rehabilitation companies, there are many companies with excellent technological capabilities but are marginalized by the financial market simply because they are rehabilitation companies. Going forward, KAMCO will actively cooperate with the court to continuously create successful restart cases of rehabilitation companies and contribute to revitalizing the economy."

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