Three firms keen to buy Daewoo

The countdown for the takeover of Daewoo Shipbuilding and Marine Engineering Company (DSME), the world's third-largest shipbuilder, has started with reports that three companies have shown interest in the acquisition.

Korea Development Bank and Korea Asset Management Corporation plan to invite bids for the sale of a combined 50.4 per cent stake in the shipyard on Friday, valued at least $5.73 billion (Dh21bn). Posco is said to be one of the firms interested in the acquisition. GS Group and Hanhwa Group have also shown interest.

Although silent over a possible acquisition, Samsung and STX are speculated to make a bid for their rival shipbuilder.

DSME has received contracts for new builds worth $11.4bn since the beginning of the year, reaching 71 per cent of its order book target for 2008

Kuwait Ocean Tanker Company (KOTC) recently signed a contract with DSME to buy four Very Large Crude Carriers (VLCCs) at a record high cost of $177million per carrier. All four vessels will be delivered in 2012.