Kepco to sell first genco within five months

17 September 2002 – Korean state-run power monopoly Korea Electric Power Corporation (Kepco) said Tuesday it would undertake the sale of the first of its generating subsidiaries by the end of January 2003.

Kepco said it was selling between 34 and 51 per cent of Korea South-East Power Co. (Kosep), which is the first of five power divisions to be sold off under a broad programme of privatization. It plans to reveal details of the international bidding process next month.

The plan calls for Kepco to transfer management control of the subsidiary to the successful bidder of an international tender by next January. The power company also plans to offer 16-25 per cent of Kosep stocks on the Korea Stock Exchange by the end of next month.

Kosep, which has the lowest debt ratio among the five at 98.5 per cent, posted a net profit of 166.2bn won ($136.56m) on sales of 1.11tn from April to December last year

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