The Court of South Korea considering the case of bankrupt automotive company SsangYong has settled with the final candidate eligible for its acquisition. According to Market Watch, the right will be given to KG Group, an industrial company producing steels and power cells, among other things.
The company may end up investing up to 900 billion Korean Won into the acquisition, which translates into nearly 700 million USD. KG Group plans to acquire the automaker gradually, first by purchasing its stock to the amount of 335.49B KRW and then by replenishing its current assets by 564.51B KRW. It remains unannounced where the automobile marque will be taken next and what its strategy will be for the next few years.
SsangYong used to belong to Mahindra & Mahindra (India) until going bankrupt two years ago due to a number of reasons, including lack of funding. In early 2022, the Seoul Bankruptcy Court authorized Edison Motors, a startup electric vehicle designer, to buy out the insolvent carmaker for a considerably smaller amount of $225M USD. Edison Motors only managed to transfer 10% of the required amount by the end of the spring, thus defaulting on the acquisition and returning the case to court.
A couple of years ago, SsangYong previewed a new crossover SUV named Torres, which you can see in our gallery here. If (or when) the car comes out, it will first be available with a traditional internal combustion engine. An all-electric version should join the lineup later and ensure the comeback of the troubled Korean brand to Europe.
