Wednesday November 11, 12:31 am Eastern Time
S.Korea chip makers agree on consultant for
merger
SEOUL, Nov 11 (Reuters) - South Korea's Hyundai Electronics Industries Co
Ltd and LG Semicon Co Ltd , ending weeks of wrangling, said on Wednesday
they had agreed that Arthur D. Little consulting firm would review their proposed
merger.
''We expect to begin reviewing the two firms some time next week,'' said Jung Taesoo, managing director of the U.S.
consulting firm's Korea office.
Arthur D. Little would bring in six corporate finance specialists and six semiconductor experts from the United States
and Britain to make up a 15-odd member team, which would also include local corporate finance and strategy
experts, he said.
None of the parties involved would estimate how long the review would take.
''We will have to discuss in detail (with each other) about the procedure,'' a Hyundai spokesman said.
In September, the Hyundai and LG groups agreed in principle to merge their semiconductor units as part of industrial
restructuring plans aimed at trimming excess capacity and avoiding duplicate investment.
However, the much-touted merger has been riddled with delays, as both chip makers have been loathe to make
concessions on management of the merged firm, analysts said.
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