Eugene Group wins bid for the news channel, YTN

Members of the Korean Confederation of Trade Unions (KCTU) media union and members of the YTN branch hold a press conference calling for an end to the illegal sale of YTN in front of the Grand Hyatt Seoul in Yongsan-gu, Seoul, on the afternoon of Sept. 23. By Kwon Do-hyun

Eugene Group won the bid to acquire YTN, a news channel in which the government holds a stake of 30.95% (13 million shares). If the acquisition is confirmed, YTN will actually be privatized for the first time in 26 years.

According to investment firms on October 23, Eugene Group was selected as the winner in a bid for YTN shares ownedby the Knowledge, Data & Network Co. (KDN) of the Korea Electric Power Corporation (KEPCO) and by the Korea Racing Authority (KRA) after submitting a bid of 319.9 billion won at a bidding ceremony held at the Grand Hyatt Seoul and presided by Samil PWC Accounting, the lead firm overseeing the YTN acquisition. YTN is a listed private company but has been categorized as “public media,” after state-owned companies became major shareholders through sharepurchases in 1997.

In addition to Eugene Group, Hansae Co. and the Global Peace Foundation also participated in the latest bid. Although Eugene Group has nearly cleared all the hurdles to become the new owner of YTN, it still needs approval from the Korea Communications Commission as the largest investor before it can officially become the new largest shareholder. YTN also has shares in the terrestrial broadcasting stations, YTN Radio (37.08%) and DMB (28.52%), so the company has to undergo a review for any violations of terrestrial broadcasting ownership regulations as well.