SsangYong takeover on brink of collapse, as buyer runs out of money – report
A consortium of investors planning to purchase the marque defaulted on a significant payment last week, according to overseas reports.
The buyer of struggling Korean car maker SsangYong has failed to front up the cash required to complete its takeover, leaving the deal on the brink of collapse, according to international media outlets.
In January a consortium of investors lead by electric bus and truck firm Edison Motors announced it had all but finalised a deal to buy out the marque for an estimated 304.8 billion South Korean won ($AU355 million).
However, the Korea Herald reported overnight – citing insider sources – the group defaulted on its final 274.3 billion won ($AU300 million) payment at the end of last week.
This puts the entire deal in doubt, and if the buyer is unable to source funding, it's unclear if the Korean manufacturer will be forced into liquidation.
Drive has contacted SsangYong and Edison Motors for comment, and this story will be updated when more information becomes available. Stay tuned to Drive for all the latest.