Austrade media release
Monday, 2 June 2008
Austrade is urging local businesses in the professional services sector to harness the opportunities arising from the new Korean Government's privatisation agenda.
With the election last December of Lee Myung-bak, a pro-business, pro-development president, the privatisation of many state-owned corporations is being actively pursued by the new Government in Seoul.
Restructuring and privatisation of the power generation and distribution businesses is being considered as part of this economic rationalisation program.
According to Austrade’s Senior Trade Commissioner in Korea, Mr Martin Walsh, Australian firms experienced with business restructuring and privatisation have a good opportunity to win work in Korea over the next few years as this process proceeds.
“Up to 300 state-owned businesses are slated for privatisation where professional advice and counsel is required. This is a great opportunity for Australian providers of legal, financial, engineering and other management services,” Mr Walsh said.
The Korean media cited 50 public companies, including state-owned banks and firms, that are on the short list to be privatized. They include Incheon International Airport Corporation, Korea Power Engineering Corporation, Korea Real Estate Investment Trust, Korea Development Bank, Industrial Bank of Korea and Woori Finance Holdings Company.
The JoongAng Daily says 161 firms including Hyundai Engineering and Construction Company and Hynix Semiconductor Incorporated will be sold this year.
Mr Walsh said Australians is already experienced at working in Korea on privatisation. “Freehills lawyers and KPMG contributed heavily to the initial restructuring of the power sector in 1999 – 2002 and given the key role these firms played in the initial restructuring of the Korean power sector, Australia is in a strong position to deliver further services to Korea in this monumental privatisation effort,” he said.
Austrade will run business briefings in late June about the Energy Security and Power Privatisation in Korea. The briefings will draw on the challenges around energy security in Korea such as the current energy mix and options for the future.
Speakers include Mr Gregory Lee, Vice President, Coal and Mineral Resources Business, SK Energy, Seoul (Korea's fourth largest conglomerate and leading energy firm); Mr Kyu Bang, Head of Resources, Macquarie Securities Korea Limited; and Dr Sung-bong Cho, Director, Korean Economic Research Institute and Martin Walsh, Senior Trade Commissioner, Austrade Seoul.
“The briefings will overview the new Korean Government's view on privatisation and what might happen as well as the opportunities this creates for Australian businesses. The briefings will be invaluable in developing an understanding of doing business in Korea, how to approach the market and how to work with Korean partners,” Mr Walsh said.
The business briefings will take place in Brisbane (Tuesday 24 June), Melbourne (Wednesday 25 June) and Sydney (Thursday 26 June). To register for the seminars go to www.austrade.gov.au/koreaenergy
1(JoongAng Daily, 23 May 2008)
MEDIA CONTACT: Caroline James Austrade: 0413 481 579. Email
ENDS
Media contact
Caroline James
Mob: +61 413 481 579
Email: caroline.james@austrade.gov.au
For further news and information from the Australian Trade Commission (Austrade) visit www.austrade.gov.au/mediacentre. |