Doosan Group Proposes Sale of Doosan Solus to Skylake

[Image source=Yonhap News]

[Asia Economy Reporter Jonggil Lee] Doosan Group is reportedly pursuing a plan to sell its affiliate Doosan Solus to a private equity fund. According to industry sources on the 9th, Doosan Group is negotiating to sell 51% of Doosan Solus shares to the private equity fund Skylake. Skylake is a private equity fund management company led by former Minister of Information and Communication Jindaeje Jin.

Doosan Solus is a company specializing in electronic and bio-material businesses. Doosan (17%) and special related parties including Park Jung-won, chairman of Doosan Group, hold 61% of the shares. The current market capitalization is around 1 trillion won. The share sale price, including a management premium, is reported to be about 600 billion won. The contract completion announcement is expected as early as tomorrow (the 10th).

Earlier, Doosan Heavy Industries received 1 trillion won in support from state-run banks due to management difficulties. Doosan Group is preparing self-rescue plans to submit to the Korea Development Bank and the Export-Import Bank of Korea.