The government will seek to wrap up the sale of Daewoo International Corp. in the first half of next year in a bid to recoup public funds, the national financial watchdog said Friday.
Creditors of Daewoo International, led by the state-run debt clearer Korea Asset Management Corp. (KAMCO), are looking to sell a 68 percent stake in the company valued at around 2.2 trillion won ($1.87 billion).
The government is seeking to sell bailed-out firms swiftly in order to retrieve public funds, the Financial Services Commission (FSC) said in a statement after holding a public fund oversight committee meeting.
POSCO, South Korea's leading steelmaker, has expressed its interest in bidding on Daewoo International, a former unit of the now-defunct Daewoo Group that is focused mainly on energy development.
The FSC said the government will seek to unload its 5 percent stake in electricity monopoly Korea Electric Power Corp. next year. It also plans to sell its 16 percent stake in Woori Finance Holdings Co. as soon as possible as part of efforts to privatize the financial holding company, according to the watchdog.
The state-run Korea Deposit Insurance Corp. holds a 66 percent stake in South Korea's No. 2 financial services company after unloading a 7 percent interest on Nov. 24 through a block trade. Excluding a 50 percent interest plus one share, the agency plans to sell the remaining 16 percent via a block trade next year.