Pantech Creditors to Inject 160 Bil. Won

 

According to banking industry sources on August 18, Korea Development Bank, Pantech's main creditor bank, will soon hold a creditors bank meeting and decide on revised proposals for additional fund provision. Of the nine creditor banks, Shinhan Bank (holding 6.0% debt), Hana Bank (8.1%), and Kookmin Bank (4.3%) refused to accept the 200-billion-won injection plan.

 

The three banks argued that it is not right for Pantech to ask for a new round of lending even after its graduation from a workout program in 2011. In contrast, Korea Development Bank said that it is a good idea to provide more funds in order to increase the company's value. Last year when Korea Development Bank proposed to the creditor banks that they help Pantech with 80 billion won, the three banks declined to cooperate with the main creditor bank