Ruia group to bid for SsangYong Motors

The city-based Ruia group decided to bid for bankrupt South Korean auto company SsangYong Motors.

The city-based Ruia group decided to bid for bankrupt South Korean auto company SsangYong Motors that manufactures sports utility vehicles and recreational vehicles like Rexton,Kyron and Actyon.

“We have decided to bid for South Korean auto company SsangYong Motor”,a Ruia group spokesperson said.

The company’s board met today in Kolkata and decided to bid for the Korean auto company.

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The development came after the South Korean auto company SsangYong Motor last month extended the submission date of financial bids from July 20 to August 10,on bidders’ request.

“In response to our request,SsangYong Motors has extended the time for financial bid to August 10”,Ruia group spokesperson had said.

The P K Ruia Group and Mahindra & Mahindra are among the six suitors shortlisted for buying out the South Korean firm,which suffered heavily due to the downturn in auto industry and has been undergoing restructuring from 2009 after a court judgement.

Ruia group chairman P K Ruia had previously found SsangYong Motors’ earlier liabilities very high at USD 700 million. However,the company decided to bid for it after its financial advisor Deloitte submitted its report.

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Ruia Group had said that a special purpose vehicle,including Dunlop India and Falcon Tyres,would be formed if it were to go ahead to bid for the ailing Korean automaker.