News / South Korean state tightens control of HMM amid privatisation questions

© Ajdibilio

Korea Development Bank (KDB) and Korea Ocean Business Corp (KOBC) on Tuesday increased their stake in South Korea’s flagship box line, HMM, to 67.05%, after both state-controlled financial institutions exchanged KRW660bn ($478.25m) of convertible bonds for more shares.

The conversion increases their holding from 418.79m shares to nearly 551m.

The South Korean state’s elevated interest in HMM coincides with mixed signals on whether it intends to relinquish control over the carrier.

HMM came under the state’s control in 2016, after its main lender ...