Dongwon raises issues in HMM bidding process... "Legal action if sale conditions change"

Dongwon Group has raised concerns about the fairness of the bidding process for the national shipping company HMM. In this regard, it also hinted at legal action.

On the 8th, Dongwon Group, one of the candidates to acquire HMM, sent an official letter to the sellers, including KDB Industrial Bank and the Korea Ocean Business Corporation (KOBC), stating that the bidding process appeared to be unfair.

In the letter, Dongwon Group also expressed its intention to take all possible measures, including legal action, if the fairness of the bidding process is not guaranteed.

Dongwon Group also raised issues regarding the demands made by another acquisition candidate, the Harim Group·JKL Partners consortium, to the sellers.

HMM Dreamho [Photo by HMM]

The Harim Group·JKL Partners consortium requested the sellers to defer the stock conversion of perpetual bonds for three years, and it is known that the Industrial Bank is reviewing this request.

Dongwon Group argues that the request by the Harim Group·JKL Partners consortium violates the bidding criteria.

According to Dongwon Group, the sellers previously instructed bidders to present acquisition amounts based on the potential total number of issued shares of HMM, approximately 1 billion shares, assuming the conversion of perpetual bonds into stock.