KDB clarifies no more financing on SsangYong
Posted : 2020-12-30 16:26
By Nam Hyun-woo
The Korea Development Bank (KDB) has clarified its intention not to offer extra financing to SsangYong Motor, which requested an autonomous restructuring support (ARS) program recently after filing for receivership with a local court.
The KDB s stance would force SsangYong s largest stakeholder, India s Mahindra & Mahindra, to expedite its ongoing negotiations with HAAH, a U.S. vehicle importer that has shown interest in buying its stake in the Korean automaker.
According to the Seoul Bankruptcy Court, it met with KDB officials over SsangYong s insolvency issue Dec. 24 after it filed for receivership, Dec. 21, due to its inability to repay 165 billion won ($152 million) in loans from the state-run bank and other lenders. Of the debt, which was due this month, 90 billion won is owed to the KDB.