Seoul — October 23, GM Daewoo Auto & Technology Co. (“GM DAT”) announced today that it raised KRW 491.2 billion (US$412 million) in an equity rights issue through an investment by its majority shareholder, General Motors Company (“GM”). GM DAT will use the proceeds, which will be received by October 28, for general corporate purposes, including funding the repayment of maturing debt.
Other shareholders in GM DAT — the Korea Development Bank (“KDB”), Suzuki Motor Corp. (“Suzuki”) and Shanghai Automotive Industry Corp. Group (“SAIC”) — chose not to subscribe to the equity rights issue. In the absence of other shareholders exercising their rights, GM decided to subscribe for the entire issue. (more…)