Those who submitted non-binding bids to purchase the firm include local energy companies such as SK Holdings, Hyosung and US private equity firm Blockstone.
Shareholders of Daesung Industrial Gases, including Goldman Sachs and Daesung Group Partners, put up for sale 100 percent equity of the firm earlier this year, in a deal that could be worth around 1.5 trillion won.
The gas company posted 53.9 billion won operating profit in 2015.
The Goldman Sachs consortium is the largest stakeholder of the affilate with a 62 percent stake while Daesung owns the remaining stake in the firm.
Daesung will utilize the sales proceeds to repay its subsidiary Daesung Industrial’s 245.5 billion won corporate bonds that mature between March and April 2017.
The final round of bidding for the gas maker is expected to begin in mid-January following the due diligence process by shortlisted firms to be selected by shareholders this week.
According to reports, Daesung is also exploring the sale of its renewable energy equipment unit DS Power. Daesung hasn’t confirmed the sale plan yet.
By Park Han-na (hnpark@heraldcorp.com)