Friday, July 18th, 2014
SEOUL, KOREA - POSCO Group will dispose of three subsidiaries including the 49-percent stake in Gwangyang LNG terminal near Gwangyang Steel Works, POS Fine, and POSCO Uruguay, as part of an effort to improve its financial standing. The Gwangyang terminal is capable of storing 530,000 kiloliters (530 million liters) of liquefied natural gas. POSCO, the owner of the 100-percent stake in the company, will sell off up to 49 percent, which is valued at around 400-500 billion won.
POS Fine is a company specializing in turning metal slags into powder form and selling to cement makers. Established in 2009, the unit posted sales revenue of 29.0 billion won and operating profit of 3.7 billion won last year. POSCO Uruguay is a company engaged in tree plantation business as part of a forestry carbon sequestration project.
A POSCO official said, "From now on, any affiliate with lagging performance or low linkage with the core business will be subject to review for restructuring. Subsidiaries with good financial results will be brought to the IPO market."