The administrator of SsangYong Motor is looking to sell the bankrupt South Korean automaker through closed auction after previous efforts by its management and majority shareholder failed to find a new investor, according to local reports.
The automaker filed for bankruptcy on 21 December 2020 after its creditors refused to reschedule repayments on KRW165bn (US$145m) of debt.
Last April, the company entered court receivership after its majority shareholder, Mahindra & Mahindra, failed to find a buyer for all or part of its stake in the company after almost two years of searching.
The court-appointed administrator, EY Han Young, in a public announcement, said it would accept letters of intent from potential buyers until the end of July and conduct preliminary reviews on them in August.
EY Han Young had previously said it aimed to select a preferred bidder by late September and enter price negotiations in October but it looks to be stepping up its efforts as uncertainty increases as to whether a new investor with a viable strategy will come forward.