South Korean electrical car (EV) producer Edison Motors Firm has appealed a current court docket determination which cancelled its proposed takeover of bankrupt native carmaker Ssangyong Motor Firm.
Ssangyong remained below the supervision of the Seoul chapter court docket after its proposed acquisition by a consortium led by Edison Motors was cancelled late final month after it didn’t make the ultimate cost.
The consortium had made an preliminary cost of 10% of the agreed KRW304.8bn (US$249m) acquisition worth again in January, however didn’t make the second scheduled by 25 March.
A brand new potential purchaser has since emerged, led by native clothes producer Ssangbangwool (SBW) which despatched a letter of intent to accumulate Ssangyong final week. The corporate desires to kind a consortium with affiliated corporations together with Kanglim, a producer of heavy responsibility autos and gear.
Edison Motors stated it filed an enchantment with the Supreme Courtroom searching for to reverse the choice to cancel the acquisition. It has filed for a court docket injunction to retain its place as the popular bidder for the SUV-focused carmaker and desires to carry new buyers into the consortium.
An Edison Motors spokesman stated in a press release: “We imagine Ssangyong Motor won’t be able to signal a takeover contract with a brand new purchaser till the Supreme Courtroom guidelines on this particular enchantment which usually takes at the very least 2-3 months.”
That will make it tough to proceed with the SBW takeover throughout the restructuring interval through which the Edison Motor consortium was be excluded, the spokesman famous.
