KG consortium selected to acquire SsangYong Motor
Kwak Jae-sun, chairman of KG Group / Korea Times fileBy Baek Byung-yeulThe Seoul Bankruptcy Court chose a consortium led by the domestic chemical and steel conglomerate KG Group as a preferred bidder for debt-ridden SsangYong Motor, which has been seeking a new owner after a takeover deal with Edison Motors fell through, the court said Friday.The court announced that it accepted SsangYong's application to seek a new owner and decided to name the consortium comprised of KG Group and local private equity firm Pavilion PE as the stalking-horse bidder for the carmaker.On March 28, SsangYong said it canceled the deal to sell a controlling stake to a consortium led by local electric bus maker Edison Motors, after Edison failed to make an acquisition payment of 274.3 billion won ($213.5 million).As a method of seeking a new owner, SsangYong and EY Hanyoung, an accounting company and the lead manager of the sale of SsangYong, chose a staking-horse bid, which refers to a process of an initial bidder setting the minimum price bar and other potential buyers having to outbid to become the new ow
