Goodbye Ssangyong

volume_up

Recall that SsangYong was the fifth largest Korean automaker in South Korea, yielding Hyundai, Daewoo, Kia, Samsung.

Since its foundation in 1954, the automaker chose a specialization for himself — Army SUVs. Later, the company was engaged in the production of buses, trucks and special equipment.

But off-road specialization is not only preserved, but continued to develop. It is in this capacity that South Korean SsangYong went to Russia. Since 2004, the interests of the company in the Russian market began to submit a group of Vadim Shevtsov «Sollers».

The Russians offered a wide range of SSANGYONG MUSSO, Rexton off-road vehicles. Korando.

An attempt was also attempting to local car production in Russia. At the end of 2005, an assembly began on the Sollers owned Sollers

Russia, the South Korean automaker left five years ago in 2015 — supplies and cars, and machine collectors stopped.

It may be a brand and would not leave the Russian market and the whole story continued, if it were not for the difficulties that began with the company twenty years ago, and from which she had to go to the latter to leaving «dry out of the water.»

Chronology is as follows. In 1997, the company’s controlling stake was bought by another Korean automaker

Until 2009, 51.0% of SsangYong Motor Company shares belonged to the Chinese Automotive Corporation

But difficulties with the new owner did not end. The automaker, the revenue of which exceeds $ 3 billion, finally bankrupt, because it cannot pay a debt of 60 billion won ($ 54.4 million) to creditors, including JPMorgan Chase banks, Bank of America and BNP Paribas. And on December 21, SsangYong Motor submitted an application for bankruptcy in the court of Seoul.

The Government of South Korea has already stated that it will not help, in fact, a foreign company: almost 3/4 shares of SsangYong Motor belongs to the Indian Mahindra Group.

In turn, the Indian company from the pandemic of the case also go out of the hands is bad. In 2019, Mahindra was going to allocate more than $ 400 million to SsangYong Motor support, but in April 2020 introduced severe cost savings and refused to allocate funds. Now the majority of Mahindra shareholders speak out for the sale of the South Korean company.

During the bankruptcy procedure on SsangYong Motor, external management and implementation of the Restructuring and Support Program can be entered. But many local and foreign analysts believe that finding wishing to save the company will be very, very difficult.

Of course, this story will end another, more pleasant ending. After all, the Korean car industry in the assets of mergers and acquisitions with a happy ending, which today should be remembered.

As is known,

Kia motors

70% of shares