STX Group interested in Daewoo Engineering

SEOUL, Feb. 17 (Yonhap) -- South Korea's STX Group said Wednesday that it is
interested in buying Daewoo Engineering & Construction Co., the country's No.4
builder now up for sale.
Kumho Asiana Group, the parent of Daewoo Engineering, is seeking to sell the
builder after it experienced a liquidity crisis in the wake of the global
economic downturn sparked in late 2008.
"We are reviewing the takeover (of Daewoo Engineering)???. But nothing has been
decided yet," said an official at STX Group.
Daewoo Engineering is also sought by TR America Consortium. Representatives of TR
America, which participated in an earlier auction to buy a controlling stake in
Daewoo Engineering, are reportedly planning to visit Seoul this month to
negotiate the takeover.
The sale of Daewoo Engineering was delayed after Jabez Partners and TR America,
the two preferred bidders, failed to show a sufficient commitment to pushing the
deal through last year.
After the sale failed, the state-run Korea Development Bank, the biggest creditor
of Kumho Asiana, said a private equity fund led by the lender plans to buy 50
percent plus one share in Daewoo Engineering.
Daewoo Engineering was previously part of Daewoo Group, which collapsed during
the 1997-1998 financial crisis.
sam@yna.co.kr
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