Debt laden Korean yard on the chopping block

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Seoul: Cash strapped Korean yard C&Heavy Industries is likely to be sold off to foreign investors. Its biggest creditor, Meritz Fire and Marine Insurance Co., is in talks with overseas investors to sell the shipbuilder.
Two foreign funds have expressed interest in buying C&Heavy, which lost management control to its lenders in December amid discussions to reschedule debt. Seoul-based Meritz said it would seek approval for its plan from the other lenders yesterday, including Woori Bank, South Korea’s second largest. C&Heavy, based in the city of Mokpo, 400 kilometers south of Seoul, has a market value of 11.5 billion won ($8.3 million).  [02/02/09]