03 Oktober 2014

[031014.EN.SEA] HMM Sells More Shares To Market Vantage, Appoints co-CEO



HYUNDAI Merchant Marine (HMM) has raised US$57.7 million through the sale of 6.2 million convertible preferred shares to Hong Kong investment company Market Vantage, completing a deal announced in June.

Debt-laden HMM initially issued 6.8 million shares to Vantage at KRW8,370 (US$8.02) per share in a first phase of the deal on June 16, raising KRW57 billion, reported Lloyd's List.

The total value of the new shares amounts to KRW117 billion ($112.5 million).

"The arrival of fresh funds is noteworthy because it does not involve asset sales and the money will come in the form of investment that can reduce debt levels and improve overall financial health," the company said in a statement.

The shipping company has also moved to a co-chief executive structure with the appointment of Lee Paik-Hoon to share the top job with standing chief executive Lee Seock-Dong.

Commenting on the new dual-chief executive structure, HMM said: "We thought it is time to make company-wide changes and innovations in order to secure its turnaround in an early stage. That's why we turned into co-CEO system."

Mr Lee Paik-Hoon was chief human resources officer of the ocean liner, a position he held previously at SK Shipping.

Source : HKSG.

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