STX Group Seeks 2013 Turnaround
Korea-based conglomorate STX saw tough times the past year due to severe cash shortage, but is seeking a turnaround in 2013 after offloading some assests.
Market analysts have mixed views for STX. Some say that its bold move will help the conglomerate get back on track, while others counter that it will continue struggling to stay afloat due to the unfavorable business environment, reports 'The Korea Times'.
The corporation has raised 1.12 trillion in cash by selling its stakes in European affiliate STX OSV to Italian shipbuilder Fincantieri SpA for 768 billion won and STX Energy to Japan’s Orix (ORXCF.PK) for 360 billion won. The group also plans to sell its stake in STX Pan Ocean, the nation's leading bulk carrier.
The Korea Investors Service (KIS) has downgraded its rating for corporate bonds of STX, STX Pan Ocean and STX Offshore and Shipbuilding to BBB plus from A minus. Korea Ratings also cut STX Engine to BBB plus.
Source: The Korea Times