A consortium of South Korea's Mirae Asset Daewoo Co. Ltd. and Japan's ORIX Corp. intends to participate in the bidding process for Seoul-based MG Non-Life Insurance Co. Ltd., FNTIMES in South Korea reported May 24, citing unidentified sources.
The consortium submitted a letter of intent to participate in a rights issue and debt refinancing deal proposed by MG Non-Life Insurance's major shareholders, which are led by NongHyup Bank and the Korean Federation of Community Credit Cooperatives.
Some foreign investors are also said to be interested in acquiring MG Non-Life Insurance, according to the report.
MG Non-Life Insurance's risk-based capital ratio of less than 120% is the lowest among the country's nonlife insurers. The insurer is currently under watch by regulators for balance sheet improvement efforts, including a rights issue of at least 120 billion won.
As of May 24, US$1 was equivalent to 1,084.09 South Korean won.
