Ssangyong Motor Plant in Pyeongtaek, Gyeonggi Province. Photo = Hankyung DB
Ssangyong Motor Company announced on the 28th that it will sign a memorandum of understanding (MOU) with the Edison Motors consortium on the 1st of next month.
Ssangyong Motor was scheduled to sign an MOU on the 29th, but it was judged that there was not enough time for consultation with Edison Motors, so it requested an extension of the MOU signing date with the Seoul Rehabilitation Court on the same day.
SsangYong Motor would have to sign a memorandum of understanding within three business days after the 25th when the preferred bidder was notified.
The extension period is 2 business days. Accordingly, the date of signing the MOU is expected to be after the 1st of the following month.
When Edison Motors signs a memorandum of understanding, it must pay 15 billion won, or 5% of the acquisition price (310 billion won), to Ssangyong Motor as a deposit. After that, a detailed due diligence on Ssangyong Motor will be conducted for about two weeks to examine specific assets and liabilities before negotiating the contract.
Shin Hyun-ah, reporter at Hankyung.com sha0119@hankyung.com
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