South Korea's Daewoo Shipbuilding & Marine Engineering board of directors has formally approved the decision to manage compatriot Daehan Shipbuilding on a consignment basis, which is seen as an early stage of M&A in effect, Seatrade Asia reported.
Daewoo will be given priority to take over Daehan after three years of management starting from next month. It could acquire the shipbuilding company earlier than expected if Daehan normalization comes fast.
From July Daewoo will take over management as well as financial and sales activity for Daehan which is now under a work-out program.
Daewoo Shipbuilding & Marine Engineering Co., Ltd (DSME) is one of the largest shipbuilders in the world and one of the "Big Three" shipbuilders of South Korea.
Daewoo will be given priority to take over Daehan after three years of management starting from next month. It could acquire the shipbuilding company earlier than expected if Daehan normalization comes fast.
From July Daewoo will take over management as well as financial and sales activity for Daehan which is now under a work-out program.
Daewoo Shipbuilding & Marine Engineering Co., Ltd (DSME) is one of the largest shipbuilders in the world and one of the "Big Three" shipbuilders of South Korea.