In a bid to salvage the $730 million Daewoo acquisition deal, which hit rough waters after creditors to the ailing Korean electronics giant refused a demand for price cut, the Videocon-led consortium has started negotiations with a revised offer.
Industry sources said the consortium comprising India's Videocon and US equity firm Ripplewood has reduced the demand for price cut to 10 per cent of deal value from the earlier 13 per cent.
Videocon officials were tight-lipped and said they were bound by non-disclosure agreement and could not verify or comment on news coming out from Seoul.
The sources, however,
said negotiations were on after the renewed offer.
Reports from Korea suggested that majority of the 40 creditors to Daewoo, led by Woori Bank, had rejected the Videocon-led consortium's demand for a price cut, saying they were not satisfied with the final terms offered by the consortium.
The Videocon-led consortium was shortlisted from a number of bidders to acquire Daewoo Electronics last October for $700 billion won (about $730 million).
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