April 20, 2024
Industrials
Doosan Heavy mulls selling stake in marine engine-making unit
[THE INVESTOR] Doosan Heavy Industries & Construction, South Korea‘s top power equipment maker, said Nov. 17 that it is reviewing selling its marine engine-making unit to help unload noncore assets.
In a regulatory filing, Doosan Heavy said it is considering unloading its stake in Doosan Engine. Industry sources said four or five potential investors have shown interest.
Doosan Heavy is the No.1 shareholder of Doosan Engine, with a 42.66 percent stake.
Doosan Engine logged an operating income of 17 billion won in the first nine months of the year on sales of 639 billion won (US$578 million).
The proposed deal comes as Doosan Heavy is still saddled with heavy debt. Its debt ratio stood at 154 percent as of the end of September, up 6.4 percentage points from the end of last year, with net borrowing rising 1.05 trillion won to 5.02 trillion won over the cited period.
By Alex Lee and newswires (alexlee@heraldcorp.com)
In a regulatory filing, Doosan Heavy said it is considering unloading its stake in Doosan Engine. Industry sources said four or five potential investors have shown interest.
Doosan Heavy is the No.1 shareholder of Doosan Engine, with a 42.66 percent stake.
Doosan Engine logged an operating income of 17 billion won in the first nine months of the year on sales of 639 billion won (US$578 million).
The proposed deal comes as Doosan Heavy is still saddled with heavy debt. Its debt ratio stood at 154 percent as of the end of September, up 6.4 percentage points from the end of last year, with net borrowing rising 1.05 trillion won to 5.02 trillion won over the cited period.
By Alex Lee and newswires (alexlee@heraldcorp.com)
