JoongAng Ilbo, currently facing a liquidity crisis, has received approval to begin a corporate workout process.
Financial creditors, including the main creditor bank Hana Bank, held their first meeting today (July 10) and reached an agreement to initiate the workout through a written resolution.
A workout process begins once creditors holding at least three-quarters of the total financial debt consent to the plan.
As of 6:00 p.m. today, creditors holding more than 75% of the debt had voted in favor.
JoongAng Ilbo applied for a workout with its main creditor bank, Hana Bank, on June 19, following a credit rating downgrade and liquidity crisis triggered by the management difficulties of JoongAng Group.
(Photo: Courtesy of JoongAng Group, Yonhap News)