CJ Group cuts Korex takeover prices

CJ Group cut down the bidding price for Korea Express (Korex) 10% to under KRW 2 trillion.

CJ signed the final contract to take Korex over on Novenber 17th and is going through the last steps of the takeover.

A representative said, “The cost will be reduced by 10% from KRW 215,000 on the first bid to KRW 193,500 per share, so we estimate the closing cost at around KRW 2 trillion.”

He added, “The reason for the decrease in cost is the falling stock prices of Korex these days. We reduced the price but the percentage of shareholding that we take could change, and there are many variables, so we can’t make a fixed price public.”

Last July 15th, CJ put down KRW 200 billion of deposit with the Korea Development Bank and is going to pay the fixed balance by December 18th. < 김보람 기자 brkim@ksg.co.kr >