[2021 National Audit] Lee Dong-geol on Edison Motors Acquiring Ssangyong Motor: "Reviewing Business Feasibility for Appropriate Support Efforts"

"Support Limits Before Business Feasibility Assessment"

KDB Industrial Bank Chairman Dong-geol Lee attended the National Assembly's audit on the Financial Services Commission held by the National Assembly's Political Affairs Committee on the 21st, checking documents with a serious expression. Photo by Dong-ju Yoon doso7@

[Asia Economy Reporter Jin-ho Kim] Lee Dong-geol, Chairman of the Korea Development Bank, stated on the 21st regarding financial support for Edison Motors, which acquired Ssangyong Motor, "We will make efforts to provide an appropriate level of support by comprehensively reviewing funding procurement and business feasibility."

Chairman Lee made this remark during the National Assembly's Political Affairs Committee audit, responding to the request from Yoon Kwan-seok, a member of the Democratic Party, who urged the bank to actively devise measures for the normalization of Ssangyong Motor.

The Seoul Rehabilitation Court selected Edison Motors as the preferred negotiator for Ssangyong Motor, which is undergoing corporate rehabilitation procedures, the day before. The key to Ssangyong Motor's recovery, which has taken the first step toward management normalization, is "whether funding can be secured." At present, full support from the main creditor bank, Korea Development Bank, is essential.

Accordingly, attention is focused on whether Edison Motors can submit a feasible business plan. Ssangyong Motor is currently experiencing losses for 18 consecutive quarters. Regarding this, Chairman Lee clarified, "It is clear that there are limits to support before judging business feasibility."