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Media: Hyosung Chemical reviews partial sales of share in Vietnamese subsidiaryIndustry insiders said the company has been facing tremendous pressure from its main creditor to reduce borrowing this year amid the growing threat of entering into the creditor management system. |
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According to media reports, Hyosung Chemical is reportedly considering various options for financial restructuring, including the possibility of partial sales of shares in its Vietnamese subsidiary – Hyosung Vina Chemical Co Ltd.
Industry insiders said the company has been facing tremendous pressure from its main creditor to reduce borrowing this year amid the growing threat of entering into the creditor management system. Hyosung Chemical had KRW 2.73 trillion in both short- and long-term borrowing, media reports said.
Hyosung Vina Chemical Co. Ltd. is located in Southern Vietnam and is wholly owned by Hyosung Chemical. The plant operates a 600,000 tons/year propane dehydrogenation (PDH) unit and two downstream PP lines with a combined annual output of 600,000 tons/year.
The company is currently in talks with Abu Dhabi National Oil Company (ADNOC) for the partial sales of shares in Hyosung Vina Chemical valued at an estimated KRW 1 trillion. No final decisions have been made at the time of this report; however, investment bankers believe the negotiations will be completed in July.
