October 07, 2008

Daewoo shipyard workers vote to strike against 50.4% stake sale

Yonhap reported that workers at Daewoo Shipbuilding & Marine Engineering Co have voted to strike against a planned stake sale this year.

Union said that about 93% of 6,503 workers voted in favor of a strike, adding that the timing and extent of the strike will depend on the progress of the sale.

The creditors, led by state run Korea Development Bank, announced earlier this month that they plan to select a preferred bidder as early as August to sell their combined 50.4% stake in the shipyard.

The 50.4% stake in Daewoo Shipbuilding was valued at about USD 4.2 billion at current market prices, but some analysts say the price could go beyond USD 5 billion, given the company's bright outlook.