HANOI: The Korean Court, through Colliers International Property Company, has will be sold for 830 billion won ($770 million) to partners who want to buy the 72-storey building in Vietnam.
According to the latest information in Hankyung Daily (South Korea), the Qatar Investment Authority (QIA) has announced the valuation of the Keangnam Landmark 72 Building at $770 million. Colliers International is in charge of selling the building, which is estimated to have a total value of more than $1 billion.
In mid-April, also in Hankyung Daily, information about the sale of the tallest building in Vietnam, Keangnam Landmark 72, attracted South Korean public opinion and international investors.
The sale is said to be related to the suicide of Sung Wan-jong, the Chair of Keangnam Enterprises construction company, due to the pressure from an investigation about economic and political scandals in this country.
Established in 1951, Keangnam Enterprise is one of the 20 largest companies in Korea.Keangnam is associated with the name of Sung Wan-jong, a famous businessman in the construction industry in the 70s and 80s.
However, after the economic upheaval and financial scandals, Keangnam is standing on the verge of bankruptcy because of corruption, and most recently because of the suicide of president Sung Wan-Jong.
The Korea Stock Exchange recently said it would clear the name of this group after more than 40 years of listing. If there are no investors acquiring or pouring capital into the company, the court will have to declare bankruptcy for Keangnam.
In Vietnam, Keangnam Enterprises Construction Group began operations in 2007.Landmark 72 is located in the southwest of Hanoi. The building has 72 floors and 610,000 m2 area of floor.
The price for apartments here is up to $3,000/1 m2. Each apartment is priced from VND 5 to VND8 billion ($250,000-$400,000).Among the firms that are “eyeing” Landmark 72 are Goldman Sachs and Qatar Investment Authority.Keangnam Enterprises was sinking in debt.
According to South Korean media, to build Landmark 72, Keangnam invested 1,200 billion won, including 530 billion won of loans.The creditors of Keangnam are Shinhan Bank, Korea Import and Export Bank, Nonghyup Bank and Woori Bank Bank.
