Kumho: Big change and no change

Kumho Industrial, until recently the owner of Kumho Tire, has been trying to find a new investor for the tyre division. An investor that would allow the incumbent management and strategies to remain in place, albeit in an enhanced form.The new arrangement is such that the Tire Business Unit has been acquired, with a 50 per cent share being taken by the Military Mutual Aid Association, a military pension fund.

Kumho retains a 30 per cent share, and the balance is made up from a number of smaller investors. This establishes a new joint venture with an initial value of 1.2 billion US Dollars.

T&A visited J. M. Kim, managing director of Kumho UK, to get a first hand reaction to the new joint venture.