POSCO PICKS WOORI INVESTMENT, 2 OTHERS AS ADVISERS FOR DAEWOO BID

POSCO (KSE:005490), South Korea's leading steelmaker, said Wednesday that it has chosen Macquarie Group Ltd. (ASX:MQG), Woori Investment & Securities Co. (KSE:005940), and Shinhan Investment Corp. to advise on its bid to acquire Daewoo International Corp (KSE:047050).

POSCO said earlier that it was reviewing a takeover of Daewoo International, a former Daewoo Group unit whose operations are focused mainly on energy development.

Creditors of Daewoo International, led by state-run debt restructurer Korea Asset Management Corp. (KAMCO), are seeking to sell a 68 per cent stake, valued at around 2.2 trillion won (US$1.84 billion).

Daewoo International is conducting massive gas and oil field development projects. Of them, its gas project in Myanmar is estimated at up to eight trillion won.

Hanwha Group, which owns Korea Life Insurance Co., the country's No. 2 life insurer, is also reportedly interested in taking over Daewoo International, which has a 24 per cent stake in Kyobo Life Insurance Co.

Hanwha is seeking to boost its insurance business through the acquisition, which would give the group assets comparable to those of Samsung Life Insurance Co., the country's leading life insurer.