ELB&T-Cardinal One-Pavilion PE Consortium Participates in Ssangyong Motor Main Bidding

[Asia Economy Reporter Yu Je-hoon] LBNT announced on the 16th that it has formed a consortium with Cardinal One Motors and Pavilion PE and participated in the final bid to acquire Ssangyong Motor.

The LBNT consortium stated that, based on the judgment that securing overseas export markets is key to the early normalization of Ssangyong Motor, the partners were optimized for "strengthening their position in the global market" and "responding to future markets such as electric vehicles."

According to the consortium, LBNT's strengths lie in securing export markets in the Middle East and Southeast Asia and possessing core technologies related to electric vehicles, while Cardinal One has the capabilities and experience to enter North America, the world's largest market.

The LBNT consortium said, "We participated in the final bid based on funds raised from global investors (European investment firms)," adding, "From the first year of acquisition, we plan to transfer the secured technologies and revenue sources to Ssangyong Motor to achieve early normalization."

Specifically, in the electric vehicle sector, the LBNT consortium will transfer LBNT's core electric vehicle technologies to Ssangyong Motor and export semi-finished and finished products through Ssangyong Motor starting next year. They explained that by transferring existing technologies to Ssangyong Motor, they aim to reduce electric vehicle development and R&D costs.

In the internal combustion engine vehicle sector, Cardinal One will begin full-scale sales from 2023 through 135 sales channels it owns in the United States and Canada.

As an early profit generation plan, a new business division will be established for exporting electric vehicle semi-finished products and constructing production bases in the Saudi Arabia International Industrial Complex and India, actively utilizing existing Ssangyong Motor personnel in the process.

Kim Young-il, Chairman of LBNT, said, "The LBNT consortium has secured overseas market expansion plans, electric vehicle manufacturing technology, and additional investment capabilities beyond acquisition funds for the prompt normalization of Ssangyong Motor," adding, "We plan to faithfully adhere to the essence of the automotive industry and grow Ssangyong Motor into a global complete car company."

Duke Hale, Chairman of Cardinal One, said, "We are the only consortium capable of solving Ssangyong Motor's fundamental problem of insufficient export competitiveness to achieve growth and additional employment," adding, "The combination of management normalization and R&D experience at various automobile companies with future electric vehicle development capabilities is the most desirable combination."