이 기사는 2019년 11월 01일 08:00 thebell 에 표출된 기사입니다.

The final bidding to acquire SKC Kolon PI, a joint-venture polyamide film maker of SKC and Kolon Industries is likely to take place on November 4.

According to industry sources on October 24, the final bidding to acquire SKC Kolon PI is expected to be held on November 4. It is said that the final bidding was initially scheduled for the end of October, but has been delayed on contenders' request for additional documents.

The sale of SKC Kolon PI has attracted investors' interest in the second half of the year with big deals being scarce in the market. The shortlisted bidders have been conducting a due diligence for over a month and negotiating the price of the target company.

The two sellers, SKC and Kolon Industries, and their lead financial advisor Credit Suisse carried out the preliminary bidding on September 5. Letter of interest (LOI) were largely submitted by major private equity (PE) firms. The sellers announced three PE firms - MBK Partners, Glenwood PE and Hahn & Company - as shortlisted contenders on September 10. The contenders have carried out due diligence via the virtual data room (VDR), field due diligence and management presentations since the middle of September.

It has been said that all three bidders are making a full preparation. SKC Kolon PI has attracted strong interests from major PE firms which have plenty of dry powder. The sellers' side had engaged in the negotiation individually with a number of PE firms, but later decided to go for a competitive bid to draw more interest.

The sellers put up for sale an aggregate 54 percent stake, equally owned by SKC and Kolon Industries and management right. SKC Kolon PI recorded 245.5 billion won of sales and 60.5 billion won of operating profit last year. Its earnings before interest, taxes, depreciation, and amortization (EBITDA) amounted to 21.7 billion won in the first half of this year. The company is expected to record EBITDA of 43 billion won this year.

SKC Kolon PI's mainstay product is polyimide film. The company is the world's largest polyimide film maker, commanding nearly 30 percent of the global market. Polyimide materials, flexible and highly resistant to heat and chemical, are used in various applications ranging from displays and flexible printed circuit boards to insulating film.

Currently the price tag is expected to be around 700 billion won. SKC Kolon PI's stock closed at around 33 thousand won on October 24. Its market capitalization is approximately 972 billion won.

(By reporter Han Hee-yeon and Kim Hye-ran)