Forecast: "Both 2 Prospective Underwriters for MG Insurance Qualified... Due Diligence Next Week"

The Korea Deposit Insurance Corporation announced on the 19th that it has selected two preliminary buyers for MG Insurance and will grant them due diligence opportunities starting next week.

Previously, as a result of receiving Letters of Intent (LOI) for the public sale of MG Insurance, a total of two companies submitted them, establishing valid competition. The two companies are reportedly the private equity firm Daily Partners and the US-based private equity firm JC Flower.

The KDIC reviewed, through legal advisors (Kwangjang) and the sales lead (Samjong), compliance with major shareholder requirements, the appropriateness of business plans, and funding plans according to relevant laws and regulations, and judged both companies to be qualified, selecting them as preliminary buyers and notifying them of the results.

Accordingly, the preliminary buyers will be given approximately five weeks of due diligence opportunities for MG Insurance starting from the 24th. The main bidding is expected to take place from late May to June after the due diligence period ends.

Meanwhile, some have pointed out that there could be issues with the major shareholder eligibility because the representative of Daily Partners, who submitted the LOI, has a history of participating in MG Insurance's management.