General Motors of the United States has offered around seven hundred-60 billion won to acquire bankrupt Daewoo Motor, excluding its main plant. The offer is roughly five hundred-90 million U.S. dollars.
The Korea Economic Daily said Thursday G-M made the offer during negotiations last month on the condition that Daewoo's main production plant in Pupyong west of Seoul be excluded. The paper was quoting an unnamed source involved in the sale talks.
The reports said G-M would not pay for the acquisition in a single lump sum. The daily added that G-M expressed serious concerns about Daewoo Motor's union, seeking government and creditor measures to deal with labor issues prior to a takeover.
Meanwhile, Daewoo Motor spokesman said he is unaware of what price G-M may have offered. Creditors of the ailing South Korean automaker said terms could not be disclosed.
Daewoo's creditors have said inclusion of the main plant is vital as it employs more than seven thousand workers and supports thousands more jobs at suppliers key to the economy of Inchon city.
G-M and its partner Fiat submitted an initial purchase proposal in May to acquire Daewoo Motor but both sides have said little since then about the status of the talks.