Korea Development Bank (KDB) will gain control and become the largest shareholder in the shipping company Hyundai Merchant Marine, following a exchange debt for equity deal. The bank will become the largest shareholder, as the shipping operator intends to reduce the share capital through shares owned by subsidiaries of the group, without compensation. This decision was made as part of the restructuring plans of the company, aimed to resolve the debt of the carrier, which has reached 5 billion USD. Following the reduction in capital, the share of Hyundai Elevator, Hyundai Global Chairman and Hyun Jeong Un holding in Hyundai Merchant Marine will reduce to 3.65%.
After shares restructuring and exchange debt for equity deal, the Korea Development Bank will become the largest shareholder in the shipping company. Hyundai Merchant Marine is confident that under the management and with the support of Korea Development Bank will stabilize its positions and will continue its operations.
The decision for above mentioned changes and restructuring of the company will be hold at an extraordinary shareholders’ meeting on July 15.
Korea Development Bank is one of the most influented financial institutions in the global shipping industry. The bank holds some of the leading shipyards in South Korea, as well as a number of carriers.