POSCO to be dropped from Daewoo Shipbuilding bidding: KDB

SEOUL, Oct. 16 (Yonhap) -- The main creditor of Daewoo Shipbuilding & Marine Engineering Co. said Thursday it will reject the bid for the shipbuilder by POSCO Co., the world's fourth-largest steelmaker, as part of its efforts to "secure fairness and transparency of the sale process."

The state-run Korea Development Bank's rejection came as POSCO has sought to make
a solo bid for a controlling stake in Daewoo Shipbuilding since GS Group abruptly
pulled out of its consortium with POSCO earlier this week.
POSCO and GS, an energy and retail conglomerate, jointly submitted a final bid to
buy a 50.4 percent stake in the world's No. 3 shipyard on Monday, but GS dropped
out hours after the final offer was made.
KDB also said it will announce a preferred bidder, which will be one of the other
two other bidders -- Hyundai Heavy Industries Co. and Hanhwa Group -- on Oct. 24.