SsangYong sale imminent

SsangYong is reportedly close to finding a new owner to turn around its fortunes after filing for court protection from bankruptcy late last year.

According to overseas reports, SsangYong has named Korean EV start-up Edison Motors – in alliance with a South Korean investment fund – as its preferred buyer in a deal understood to be worth around $A348 million ($US260 million).

Edison has been around since 2015 and builds electric buses and trucks but wants to expand into passenger vehicles, something SsangYong’s factory in Pyeongtaek, South Korea, would facilitate.

The takeover will require government approval but reports suggests the deal could be finalised before the year is out.

Despite its financial difficulties, SsangYong has continued trading this year, and in Australia has sold 2189 vehicles (to the end of September) across three model lines – Musso ute, Korando mid-size SUV and Rexton large SUV.

SsangYong has previously confirmed to carsales it was developing an electric dual-cab ute, and earlier this year the company unveiled a battery-powered e-Motion version of the Korando.

SsangYong is the fifth-largest car-maker in Korea after Hyundai, Kia, Genesis and Samsung Renault.

The car-maker rose to prominence in the early 1990s after forming a technical partnership with Mercedes-Benz, which saw the SsangYong Musso SUV developed using the German luxury brand’s engines and transmissions.

In 1997, SsangYong was taken over by another Korean auto-maker, GM Daewoo, then sold in 2000.

Chinese auto-maker SAIC took control in 2004 but by 2009 SsangYong was put into receivership.

Two years later, Indian car-maker Mahindra & Mahindra snapped up the company for $A620 million ($US463.6 million).