Accra:Creditors of JoongAng Ilbo Co. are anticipated to select a preferred bidder for the leading South Korean newspaper publisher this month following the closure of bidding for the financially troubled company earlier today.
According to Yonhap News Agency, Orion and five other companies have submitted their bids to acquire JoongAng Ilbo, with the deal valued at between 400 billion won (US$300 million) and 500 billion won. This decision was made by the main creditor, Hana Bank, along with other lenders after thorough consultations.
JoongAng Ilbo entered a debt workout program in July, led by Hana Bank and other creditors, due to liquidity issues faced by its parent company, JoongAng Group. During this period, creditors have suspended debt collection for three months, helping the company avoid court-led rehabilitation proceedings.
JoongAng Holdings, which owns a 64.7 percent stake in JoongAng Ilbo, is under the control of the founding family of JoongAng Group.