S. Korea Aims to Block GM from Leaving for 10 Years

The Korea Development Bank says its aid package to struggling GM Korea will prevent parent General Motors Co. from exiting the country for at least 10 years, Reuters reports.

Finance Minister Kim Dong-yeon says the deal limits GM’s ability to sell shares or assets in its Korean unit. A final agreement is expected on Friday.

Under terms of the deal, the state-controlled Korea Development Bank will quickly inject $750 million into GM Korea. GM will contribute as much as $3.6 billion to the subsidiary.

Kim says the agreement also restores the ability of KDB, which owns 17% of GM Korea, to veto the sale of more than 20% of GM Korea’s assets.