Pantech potentially saved from bankruptcy with last-minute buyer
Pantech, which has been in court receivership since August last year, has signed a memorandum of understanding with the Seoul Central District Court’s approval for a possible merger and acquisition with a consortium led by South Korean optical disc drive (ODD) manufacturer Optis on June 16.
The two will begin a month-long cross-inspection, and will officially sign off on the acquisition on July 17, if no obstacle to the deal is found.
Pantech was facing liquidation by the court after three separate talks with potential buyers failed this year. The handset maker nearly gave up, and last month filed documents to the court stating that it wished to end the court receivership, which is similar to Chapter 11 in the US, and go through with liquidation. The deadline for a buyer was this week.
Fund managers and real estate companies have showed interest, but all talks fell through as they failed to meet the criteria given by the court.