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Sambu Construction. (Photo=Yonhap News) |
[Alpha Biz= Kim Jisun] SEOUL, Sept. 11 – The Seoul Bankruptcy Court has approved a pre-approval merger and acquisition (M&A) process for Sambu Construction, which is currently under corporate rehabilitation proceedings.
The court’s Rehabilitation Division 3 (Chief Judge Jeong Jun-young) announced on Wednesday that it had authorized an open bidding process for the company ahead of the court’s approval of its rehabilitation plan.
Sambu Construction requested this procedure, citing the need to maximize sale proceeds, ensure fairness and transparency, and expedite the overall rehabilitation process.
Initially, the company had pursued a “stalking horse” approach, in which a conditional acquisition agreement is signed before a public auction. However, the process stalled due to delays in submitting funding proof, risks tied to unconfirmed debts, and concerns over former and current management’s alleged violations of the Capital Markets Act.
The company will officially announce the sale on Sept. 15. Letters of intent (LOIs) will be accepted until Oct. 17, with final acquisition proposals due by Oct. 31.
Sambu Construction filed for rehabilitation in February, after liquidity issues caused by a surge in raw material prices, delayed collection of construction receivables, and broader construction market downturn.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
