Kumho Group has announced a preferred bidder for its controlling stake in debt-ridden Asiana Airlines.
It's a consortium led by Hyundai Development Company, which reportedly bid around 2 billion dollars for Kumho's 31 percent stake in the carrier, beating out rivals, which included a consortium led by local cosmetics firm Aekyung Industry.
Following the announcement, HDC Chairman Chung Mong-gyu told reporters that he hopes the possible takeover would help the company become a mobility giant.
If the takeover happens, HDC will jump into the top 20 conglomerates in South Korea.
The HDC consortium has already passed the transport ministry's screening process and is set to begin talks with Kumho.
Asiana recorded a loss of around a quarter billion dollars in the first half of the year and its debts amounted to more than 8 billion dollars.