The Korea Development Bank (KDB), a main creditor of Daewoo Shipbuilding & Marine Engineering Co. (DSME), will accept debt-to-equity swaps worth at least 1.6 trillion won (US$1.4 billion). Moreover, the bank will reduce the capital of its 60 million shares in DSME without refund. The Export-Import B
Hyundai Merchant Marine Co. (HMM) will take over 11 ships returned by Hanjin Shipping Co. to the Korea Development Bank (KDB). According to shipping industry sources on November 1, Haeyoung Maritime Services Co., a subsidiary of HMM which provides ship management and maintenance services, has manage
According to government sources, the Ministry of Strategy & Finance of South Korea is likely to designate the Korea Development Bank (KDB), which is currently a public institution, as a state-owned company in January next year. In South Korea, public agencies are divided into state-owned companies,
Korea Development Bank (KDB) has decided to financially support Hanjin Shipping in order to help Korean Air Lines Co. inject money into its subsidiary Hanjin Shipping. Korean Air, the biggest shareholder of Hanjin Shipping, has been struggling to provide funds to the carrier due to the opposition fr
The Kumho Tire creditors including the Korea Development Bank (KDB) and Woori Bank posted a public notice of sale on September 20 via Credit Suisse Securities. At present, the creditors own 42.01%, 66,368,844 shares, of Kumho Tire with Woori Bank and the KDB representing 14.15% and 13.51%, respectiv
South Korea has lost the vice president position and won only non-core director-level positions at the Asian Infrastructure Investment Bank (AIIB) even after pouring more than 4 trillion won (US$3.58 billion).The Ministry of Strategy and Finance announced on September 12 that Yoo Jae-hoon, the incum
Korea Development Bank (KDB) said on September 6 that it would fund some 100 million euros from its multilateral development bank (MDB) special fund for Samsung C&T’s project to build a hospital in Gaziantep, Turkey.The MDB special fund is created with US$1 billion in May this year to support South
Korean government officials said on August 2 that the Export-Import Bank of Korea (Korea Eximbank) will file a claim for damages against the Chinese importers, following US importers, in order to recover damages it suffered owing to the Moneual Incident.The Korea Exim Bank executed a loan of 113.5 b
Korea Development Bank (KDB) declared its entrance into a “contingency plan,” with the judgment that Daewoo Shipbuilding & Marine Engineering (DSME) is now facing the “Worst Case,” which cannot be resolved with the original self-restructuring plan of 5.35 trillion won (US$4.65 billion).A senior offi
South Korean commercial banks are busy trying to avoid losses during the course of credit exposure reduction with regard to Samsung Heavy Industries.Recently, commercial banks applied three-month instead of six- and 12-month loan maturities to Samsung Heavy Industries as is the case with the state-r
It is forecast that Samsung Heavy Industries (SHI) will raise its capital by one trillion won, a little more than expected by the market. According to industrial sources on July 14, early this week, Samjong KPMG gave the results of its due diligence of SHI to the Korea Development Bank (KDB), the cr
The Ministry of Strategy & Finance and the Financial Services Commission of South Korea announced on June 16 that a compulsory foreign currency liquidity coverage ratio (LCR) becomes effective in January next year. The foreign currency LCR refers to the ratio of high-liquidity foreign currency asset
As Hyundai Elevator, the nation’s leading elevator manufacturer, has decided to break off from its ailing subsidiary Hyundai Merchant Marine (HMM) on the board meeting, all eyes are on whether the company can recover the relationship with Swiss-based Schindler Holding AG, its No. 2 shareholder.Hyund
On June 8, the South Korean government made public its plan for government-run bank recapitalization to be prepared for the restructuring of certain sectors. The core part of the plan consists of an 11 trillion won recapitalization fund based on indirect investment by the Bank of Korea and the Indus
Creditors of Daewoo Shipbuilding & Marine Engineering (DSME), which is coming up with final self-rescue measures, has decided to postpone the sale of its subsidiaries until 2018.An official from creditors said on June 5, “With existing backlog, DSME is likely to post annual sales of 8 trillion won (
The Korea Development Bank (KDB) decided to record a coverage ratio of at least 100% at or before the end of this year with regard to its allowance for bad debts. This is to ensure capital adequacy ahead of restructuring of insolvent companies.At the end of last year, the KDB fixed its coverage rati
Hyundai Heavy Industries Co. and Samsung Heavy Industries Co. have won tentative approval from their main creditors to go ahead with their self-restructuring schemes worth over 5 trillion won (US$4.19 billion) in total.When there is no problem with due diligence conducted by accounting firms in the
According to the Fair Trade Commission, Korea’s 65 conglomerates gained 18 new affiliates last month, bringing the total number to 1,759.Last month, 33 companies were made affiliates of 13 conglomerates, including Mirae Asset, LG, Kumho Asiana and KT. KDB Asset Management and Daewoo Securities offic
On June 1, the Korea Development Bank (KDB) released a report on how to carry out credit exposure assessment and how to improve its credit exposure limit management in 2016. According to the report, the KDB is planning to change its credit exposure limit management system by industrial portfolio as
In regard to STX Offshore & Shipbuilding Co., which filed for court receivership on May 27, the court strongly criticized, “Since creditors, including the Korea Development Bank (KDB), put off receivership, 4.4 trillion won (US$3.69 billion) of funds wasted. At the moment, we don’t consider the liqu