Mahindra & Mahindra (M&M)-owned SsangYong Motor Company (SYMC) has filed for bankruptcy. While there are enough instances of failed overseas acquisitions, the company bought from a court receivership by an Indian company heading back to bankruptcy after a decade is unheard of. On Monday, SYMC intimated the Korean Stock Exchange regarding the commencement of rehabilitation procedure with the Seoul Bankruptcy Court, M&M said in a notification to the stock exchanges. The development comes a week after the struggling automaker missed the December 14 deadline for repayment of Rs 480 crore (60 billion Korean Won) to JPMorgan Chase Bank in South Korea.
Mahindra s SsangYong files for bankruptcy
In a regulatory filing, Mahindra said that SYMC has also applied for an Autonomous Restructuring Support (ARS) programme which is a court-designed process.
Mahindra & Mahindra s South Korean subsidiary SsangYong Motor Company (SYMC) has filed for rehabilitation procedure with the Seoul Bankruptcy Court.
In a regulatory filing, Mahindra said that SYMC has also applied for an Autonomous Restructuring Support (ARS) programme which is a court-designed process. SYMC has today intimated to the Korean Stock Exchange, about filing an application for commencement of rehabilitation procedure with the Seoul Bankruptcy Court under the Debtor Rehabilitation and Bankruptcy Act of South Korea, it said.