Daewoo orders

Having completed its debt-for-equity deal Daewoo Heavy Industries (DHI) is now 56 per cent owned by the Korea Development Bank and the Export-Import Bank of Korea (EIBK) with the remaining shares owned by individuals via the stock market. Daewoo borrows 70 per cent of the newbuilding cost from EIBK to fund construction and this debt was exchanged for shares.

DHI signed orders for six ships in the first half of October and is expecting to sign contracts for another ten ships within a month. The latest orders for six 75,000dwt bulk carriers brings the total for the year to over 30.

The deal announced for the remaining parts of Daewoo will not affect the shipbuilding activities.