The state-run Korea Asset Management Corp. (KAMCO) will push to sell Daewoo Electronics Corp., a troubled home appliances maker, in the second half, the corporation's president said.
Daewoo Electronics has been under a debt workout program since its parent Daewoo Group collapsed under debts of nearly U.S. $80 billion in 1999.
"KAMCO has agreed with main creditor Woori Bank and the management of Daewoo Electronics on the sale," KAMCO President Kim Woo-suk told reporters.
The state asset management company is a major shareholder in Daewoo Electronics, once one of Korea's top home appliance makers.
Woori Bank, South Korea's second-largest lender, will soon begin sale procedures, including the selection of a lead manager, he added.
Several foreign companies are known to be interested in buying the electronics company.
Mr. Kim said the sale would help Daewoo Electronics get back on track as soon as possible. "A lack of spending on research and development is eroding the company's corporate value and its growth potential," he said. (Yonhap)
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