The Saemaul Geumgo Central Association and UAMCO announced that they have decided to execute the first investment from the 'UAMCO-MG PF Normalization Fund' totaling 500 billion won, established last September, on the 30th.
According to the Central Association, this investment establishment is a business facility located in the Seongsu-dong IT industry development promotion zone in Seoul. The UAMCO-MG PF Normalization Fund will invest a total of 122.1 billion won, including new funds and bond acquisition amounts. The main financial consortium, composed of Saemaul Geumgo, will halt the ongoing auction of the establishment in question and collaborate with UAMCO to promote the normalization of the distressed PF establishments through a bond restructuring method.
Saemaul Geumgo has previously resolved the bonds of distressed PF establishments mainly by selling most of the bad debts to MCI Lending or Korea Asset Management Corporation (KAMCO). The investment from the UAMCO-MG PF Normalization Fund represents the first case of promoting the normalization of PF establishments based on the restructuring guidelines for bad debt management established by the Saemaul Geumgo Central Association in September this year.
A representative from the Central Association noted, 'Various efforts to enhance asset soundness in collaboration with the Ministry of the Interior and Safety and the Central Association will bear fruit,' adding, 'In the future, we will actively employ restructuring-style investments to enhance normalization and soundness of distressed PF establishments under the guidance and cooperation of the Ministry of the Interior and Safety.'