Daeyang Metal to acquire Youngpoong Paper for KRW 130bn
Not yet reviewed: summarised from filings and press reports; figures may differ between reports. Please check the original sources.
- Deal value
- $90m
- Stake
- —
- Implied 100%
- —
- Revenue
- —
- Op. income
- —
- Multiples
- —
- Target
- Youngpoong Paper · Paper (corrugated board)
- Buyer
- Daeyang Metal · SI
- Seller
- —
- Structure
- —
- Announced
- Jun 14, 2022
- Closed
- —
- Stage
- Announced
Target
Youngpoong Paper is a KOSPI-listed paper manufacturer producing corrugated base paper and related paper products. The acquirer, Daeyang Metal, makes cold-rolled stainless steel products.
Deal rationale
According to Bizwatch, a Daeyang Metal official said that although the industries differ, overlaps in components and logistics should make synergies visible by the first half of 2023. The official said the company had planned to acquire alongside a financial investor but had to borrow as equity markets deteriorated; much of the KRW 130bn price was reported to be externally financed, including a KRW 51.1bn loan secured on 50.51% of Youngpoong shares right after closing. The acquired stake was reported as 50.76% (11,316,730 shares).
Press coverage
- 한국경제 마켓인사이트 (2022-06-14): “대양금속, 영풍제지 1300억원에 인수”
- 한국벤처캐피탈협회 M&A 뉴스레터 (2022-08): “대양금속, 영풍제지 1300억원에 인수”
- 비즈워치 (2022-12-22): “본래 재무적투자자(FI)와 함께 영풍제지 인수에 나설 예정이었으나 주식시장이 안 좋아지면서 차입상황이 발생했다”
This is a data entry summarising filings and press reports. Please check the original sources for the figures.