Published : Feb. 1, 2016 - 10:59
Doosan Infracore has changed the preferred bidder for the sale of its machine tool business, the company said in a regulatory filing Monday.
The new partner for negotiations is MBK Partners, the largest Korean private equity fund.
Doosan Infracore construction equipment (Yonhap)
Last December, the Standard Chartered private equity fund was originally named as the preferred bidder for a buyout deal with the faltering construction equipment maker of Doosan Group.
Market watchers said negotiations between Doosan Infracore and the SC private equity fund have been drawn out due to price differences. The SC private equity fund reportedly had offered about 1.3 trillion won ($1.08 billion) to buy the profitable unit of Doosan Infracore.
Doosan Infracore, hit hard by the prolonged slump in China’s construction market, has put its unit on auction to reduce its debt.
The company reported a loss of some 200 billion won during the third quarter last year.
By Seo Jee-yeon (jyseo@heraldcorp.com)