Double Star issued a statement for the acquisition of Kumho Plus

On March 21, 2017, Qingdao Double Star Co., Ltd. issued a statement saying that after the acquisition of Korea Kumho Tire , all jobs will remain unchanged.

"The company has agreed to reach a consensus with Kumho Tire's investors to agree to retain the positions of all Kumho Tire employees and plans to recruit more talent from South Korea to enhance the brand value and continued growth of Kumho Tire."

Qingdao Shuangxing made the above promise in the statement and stated that even if it became the largest shareholder of Kumho Tire, it still ensures that the company is in an autonomous management state.

Double Star issued a statement for the acquisition of Kumho Plus Double Star issued a statement for the acquisition of Kumho Plus

On March 14, 2017, Qingdao Shuangxing announced that it has signed the "Share Sale and Purchase Agreement" with the seller's representative (Korean Industrial Bank).

At that time, everyone thought that Qingdao Double Star had already taken Kumho Tyre into its pocket.

However, the current president of Kumho Asiana Group Park San-kee and Korea Industrial Bank (Kumho Tire's major investor) are arguing over whether to allow the former to buy back Kumho Tires as a third party through the formation of a consortium. .

Kumho Hana Group even stated that if Korea Industrial Bank continues to refuse its repurchase of Kumho Tires, they will take legal measures against it.

This shows that Park San-chuang is still trying to buy back Kumho Tire shares.

Recently, some South Korean officials are also appealing and hope that Korea Industrial Bank and other creditors will not sell Kumho Tire to Chinese companies.

According to industry analysts, Qingdao Shuangxing issued this statement at this time, aiming to stabilize the status of the preferred bidder. At the same time, it will sit down and watch the Korean Industrial Bank compete with Kumho Asiana Group, thus adding to the success of the acquisition.

According to the analysis, Qingdao Binxing’s “comfort” statement may have some attraction for Koreans. The data shows that in 2016, the number of actual unemployed in South Korea hit a record high due to the manufacturing downturn.

For Qingdao Shuangxing, this acquisition can be described as significant.

It is understood that in the 2016 global tire ranking 75, Kumho Tires ranked 14th, and DoubleStar Tire ranked 34th. Together, the two sales have entered the top 10 globally.

In the view of Double Star, with the advantage of its own brand in China and its advantages in TBR (car passenger car tyres), coupled with the influence of Kumho in the PCR (passenger tires) market, the two companies will become the largest tyres in China after the merger. factory.

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