POSCO says it mulls takeover of Daewoo International

SEOUL, Sept. 29 (Yonhap) -- POSCO, South Korea's leading steelmaker, said Tuesday it is reviewing a takeover of Daewoo International Corp., a former Daewoo Group unit whose operations are focused mainly on energy development.

"We are reviewing the strategic investment value of Daewoo International, but
nothing has yet been decided," POSCO said in a regulatory filing.
On Monday, POSCO CEO Chung Joon-yang expressed interest in the trading and energy
development company.
Creditors of Daewoo International, led by state-run debt restructurer Korea Asset
Management Corp. (KAMCO), are seeking to sell their 68 percent stake, valued at
around 2.2 trillion won (US$ 1.84 billion).
KAMCO-led creditors are planning to name a lead manager next month for the stake
sale.
Daewoo International is conducting massive gas and oil field development
projects. Of them, its gas project in Myanmar is estimated at up to 8 trillion
won.
Hanwha Group, which owns Korea Life Insurance Co., the country's No. 2 life
insurer, is also reportedly interested in taking over Daewoo International, which
has a 24 percent stake in Kyobo Life Insurance Co.
Hanwha would be seeking to boost its insurance business through the acquisition,
which would give the group assets comparable to those of Samsung Life Insurance
Co., the country's leading life insurer.
sam@yna.co.kr
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