A consortium led by Edison Motors was expected to be selected as the preferred bidder for SsangYong Motor, according to a South Korean media report.

According to Korea Joongang Daily, SsangYong Motor said it had chosen the consortium led by the electric truck maker as the preferred bidder and would ask Seoul Bankruptcy Court to approve the decision.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The report said the Edison Motors-led consortium included Korea Corporate Governance Improvement (KCGI) fund, Keystone Private Equity and Semisysco. It was reported the consortium submitted KRW200bn (US$170m) as the acquisition price for the beleaguered carmaker.

Another consortium lead by Korean electric vehicle company EL B&T, which reportedly submitted a KRW500bn bid, was expected to compete with Edison Motors, but was ruled out because it “was seen as lacking financing capability,” according to Seoul Bankruptcy Court.

“SsangYong Motor and the manager of the deal [EY Hanyong] evaluated the acquisition price as well as the bidder’s determination and capability to stably run SsangYong Motor’s business after the acquisition,” SsangYong Motor said in a statement cited by the daily.

Edison Motors is an electric truck manufacturer based in Hamyang, South Gyeongsang. Its revenue was KRW89.8bn last year and its operating profit was KRW2.8bn.

It was one of the first companies to step forward to salvage SsangYong Motor after it was placed under court receivership in April.

SsangYong Motor planned to sign a memorandum of understanding with Edison Motors this month and finalise the details of the deal, including the price, after November, the newspaper’s report added.