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GM agrees to provide $3.6 billion funding to South Korean unit: South Korea

Published 04/26/2018, 07:15 AM
Updated 04/26/2018, 07:20 AM
© Reuters. FILE PHOTO: The logo of GM Korea is seen at its Bupyeong plant in Incheon
GM
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SEOUL (Reuters) - General Motors (N:GM) has agreed to provide $3.6 billion in fresh funding to its troubled South Korean unit, higher than its previously proposed $2.3 billion as part of a preliminary deal, South Korea said on Thursday.

State-funded Korea Development Bank also said the U.S. automaker agreed to swap all of the debt owed by its South Korean unit to the headquarters into equity.

© Reuters. FILE PHOTO: The logo of GM Korea is seen at its Bupyeong plant in Incheon

The KDB, which owns a 17 percent stake in GM Korea, also plans to invest a total of $750 billion in the unit.

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