[Photo] Kumho Tire attempting to sell majority share to China’s Qingdao Doublestar

The Korean Development Bank announced on Mar. 2 that Kumho Tire is working on a deal to sell the majority share of its company to China’s Qingdao Doublestar for 646.3 billion won (US$597.4 million). This is the Kumho Tire’s second attempt to sell its controlling interest to a foreign company, after a similar deal fell through last September due to the strenuous objections of the company’s labor union. During a press conference announcing the proposed sale, KDB Vice Chairman and Chief Operating Officer Lee Dai-hyun said, "Creditors will have to inject a massive amount of fresh capital into Kumho Tire for a turnaround if they push forward a joint restructuring program. But it won't guarantee a turnaround for the company's businesses, including the loss-making Chinese unit.”