Ruia Group Bids for SsangYong

For a company which back in 2009 was on the brink of total collapse, South Korean SsangYong is now enjoying an unexpected popularity among different Asian companies. The final date for submitting a bid to buy SsangYong was August 10 and, up until now, two of the companies who have submitted their bid have stated their intentions

The first one was Mahindra & Mahindra, who announced earlier this week it is going for SsangYong. The second is Ruia Group, an industrial conglomerate, who confirmed their entry as well.

"The Ruia group is indeed bidding for SsangYong. This has been decided in a meeting today, presided by Pawan K Ruia, chairman,"  Ruia said in a statement cited by Business Standard.

As was the case with Mahindra's bid, the official details, including the sum of money offered for the South Korean manufacturer's operations, have not been made public.

Under court-led bankruptcy protection since last year, SsangYong had to survive both its creditors and its workers, who at one point rebelled and barricaded themselves in a SsangYong plant.

Indian car manufacturer Mahindra is not at its first attempt to take over SsangYong. It initially intended to buy a majority stake in SsangYong in 2003, when its holding company, Daewoo went bankrupt and creditors put on sale a stake of 54 percent of the company. At the time, Mahindra decided though that SsangYong is not good for its business.

As for Ruia Group, the company specializes in tires, heavy engineering and automotive sealing systems. Apparently, SsangYong sits well with its expansion plans.