A joint bid from Hyundai Development and Mirae Asset Daewoo has been made for South Korean carrier Asiana Airlines, according to local media reports.
The consortium is expected to buy Kumho Industrial’s 31% stake for KRW400 billion ($345 million) and then invest approximately KRW2.1 trillion (just over $1.7 billion) in Asiana to fund rejuvenation and expansion.
A report by Forbes has said that as part of the joint bid, Mirae is the financial investor while Hyundai is considered the strategic investor.
Earlier this year, it was reported that Kumho was looking to sell its stake in Asiana as it aimed to improve its liquidity while also appeasing creditors.
Asiana has been operating an older fleet due to a lack of cash.
As of the second quarter of this year, the carrier's debt reached approximately $8.3 billion, Reuters reports.
Funds from the stake sale would be spent on paying debts and investing in new businesses.