Taeyoung E&C stocks up ahead of creditor briefing session

Taeyoung E&C’s Office Building in Yeouido, Seoul. [Photo by Yonhap]

Shares of South Korea’s mid-tier builder Taeyoung Engineering & Construction Co., which applied for a debt workout, or corporate financial restructuring, surged in the early trading hours on Wednesday ahead of a briefing session for creditors.

Taeyoung E&C shares were trading at 2,935 won ($2.24) as of 9:05 a.m. on Wednesday, up by 12.02 percent from the previous session. Major shareholder TY Holdings Co. and group affiliate Seoul Broadcasting System (SBS) also saw their shares rise 4.31 percent and 2.54 percent respectively.

A briefing session for creditors regarding Taeyoung E&C’s workout application is scheduled for 3 p.m. on Wednesday at the head office of state-run lender Korea Development Bank (KDB), the company’s main creditor.

During the session, explanations will be provided regarding the agenda for the first meeting of creditors to be held on January 11, 2024, including the formation and operation of the creditors’ meeting, evaluation of Taeyoung E&C’s viability, and establishment of management criteria for project financing (PF) business sites.

It is also anticipated that Taeyoung E&C will provide some details about its self-rescue plan during the Q&A session, which is drawing the market’s attention.