Mexican Media Brands
Kumho Tire Bailout Moves Closer
Kumho Tire Co. says the Chinese company that aims to buy 45% of the struggling South Korean tiremaker has vowed to guarantee the business’s management independence.
#economics
Share
Kumho Tire Co. says the Chinese company that aims to buy 45% of the struggling South Korean tiremaker has vowed to guarantee the business’s management independence.
Qingdao Doublestar Co. is offering to invest 646 billion won ($613 million) to acquire its stake in Kumho and another 200 billion won ($190 million) to upgrade the company’s manufacturing facilities.
Hourly workers staged a one-day strike in mid-March to protest the deal, preferring efforts to find Korean investors to save the company. But employees voted last week to approve the Doublestar plan after the state-run Korean Development Bank, a major creditor, threatened to push Kumho into court-controlled receivership.
Kumho has been under the control of its creditors for a decade. Last year the company reported its net loss more than doubled to 89 billion won ($84 million).
RELATED CONTENT
-
Report Forecasts Huge Economic Upside for Self-Driving EVs
Widespread adoption of autonomous electric vehicles could provide $800 billion in annual social and economic benefits in the U.S. by 2050, according to a new report.
-
Enterprise Edges into Self-Driving Car Market
U.S. rental car giant Enterprise Holdings Inc. is the latest company to venture into the world of self-driving vehicles.
-
On Lincoln-Shinola, Euro EV Sales, Engineered Carbon, and more
On a Lincoln-Shinola concept, Euro EV sales, engineered carbon for fuel cells, a thermal sensor for ADAS, battery analytics, and measuring vehicle performance in use with big data