Creditors: "Doosan Heavy Industries to Restructure Business into Eco-Friendly Energy Specialist and Major Shareholder to Conduct Rights Offering"

Creditors Report Doosan Heavy Industries Normalization Plan at the 23rd Ministerial Meeting on Industrial Competitiveness Enhancement

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[Asia Economy Reporter Joo Sang-don] Doosan Heavy Industries & Construction is undertaking a business structure reorganization aimed at becoming an eco-friendly energy specialist company. It has also decided to implement a financial structure improvement plan, including a capital increase by the major shareholder.

The creditors of Doosan Heavy Industries & Construction, including the Korea Development Bank and the Export-Import Bank of Korea, reported these details at the "23rd Ministerial Meeting on Strengthening Industrial Competitiveness" held at the Government Seoul Office on the afternoon of the 29th.

The meeting, chaired by Deputy Prime Minister and Minister of Economy and Finance Hong Nam-ki, was attended by Minister of Trade, Industry and Energy Sung Yun-mo, Minister of Employment and Labor Lee Jae-gap, Director of the Office for Government Policy Coordination Koo Yoon-chul, Chairman of the Financial Services Commission Eun Sung-soo, Governor of the Financial Supervisory Service Yoon Suk-heon, President of the Korea Development Bank Lee Dong-gul, President of the Export-Import Bank of Korea Bang Moon-kyu, and Senior Secretary for Economic Affairs Lee Ho-seung.

So far, the creditors have been reviewing the overall liquidity of the Doosan group through consultations with Doosan, while preparing mid- to long-term business restructuring plans and financial structure improvement plans for the normalization of Doosan Heavy Industries & Construction's management. As a result, Doosan Heavy Industries & Construction will carry out a business structure reorganization aimed at becoming an eco-friendly energy specialist company, and implement financial structure improvement plans including a capital increase by the major shareholder and the sale of key affiliates and non-core assets.

Based on this, the creditors reported that they evaluate that a sustainable foundation for the normalization of Doosan Heavy Industries & Construction's management will be established.