[Alpha Biz=(Chicago) Reporter Paul Lee] Chairman Woo Oh-hyun's SM Group submitted a letter of intent to take over before the sale of Daewoo Shipbuilding & Marine Engineering & Construction, which is in the process of corporate rehabilitation, and began due diligence.

According to the investment banking (IB) industry on the 4th, TAECHO E&C’, which is 100% owned by Woo Ji-young, the second daughter of SM Group Chairman Woo Oh-hyun, submitted a letter of intent (LOI) to acquire Daewoo Shipbuilding & Marine Engineering & Construction to the organizer. The deadline for submitting LOI was closed on the 3rd. In addition to SM Group, one more mid-sized company is believed to have submitted LOI during the period.

Samil Accounting Corporation, the organizer of the sale, will give candidates who submitted the LOI a two-week preliminary due diligence opportunity from this day to the 17th of next month. The bidding date is scheduled for the 20th of next month. The organizer plans to select the preferred bidder among the candidates who participated in the bidding.

The sale price is expected to be around 20 billion won. The selling company is in the process of selling by open competitive bidding. The original buyer can secure management rights through the third-party allocation paid-in capital increase method or corporate bond acquisition method.

Daewoo Shipbuilding & Marine Engineering Co. is a mid-sized construction company that ranked 83rd in the construction capacity evaluation ranking. Daewoo Shipbuilding & Marine Engineering Co. was acquired by Daewoo Shipbuilding & Marine Engineering Co. from Jinro Group in 2003.

 

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