Ssangyong Motor, KG Group Consortium Selected as Preferred Buyer

[Image source=Yonhap News]

[Asia Economy Reporter Yoo Hyun-seok] Ssangyong Motor and EY Han Young Accounting Corporation, the sales lead manager, announced on the 13th that they have selected the KG Consortium as the prospective buyer before the M&A announcement with the court's approval.

Ssangyong Motor and EY Han Young Accounting Corporation comprehensively evaluated and selected the prospective buyer before the announcement by focusing on ▲the size of the acquisition price ▲the ratio of paid-in capital increase and required shareholding ratio ▲the plan to secure operating funds after acquisition (scale and method of procurement) ▲the employment guarantee period.

In particular, learning from the failure of the merger and acquisition (M&A) with Edis Motors, they evaluated the acquisition price and operating funds after acquisition by assigning weights not only to the total amount but also to the proof of fund procurement and the form of fund input presented in the financing plan.

Ssangyong Motor plans to sign a conditional investment contract with the KG Consortium, the prospective buyer before the M&A announcement, sometime next week. After that, they will proceed with the public sale process.

This content was produced with the assistance of AI translation services.