Kumho Asiana mulls selling insurance unit By Nam Kwang-sik

SEOUL, Sept. 11 (Yonhap) - Kumho Asiana Group, South Korea's seventh-largest conglomerate, said Thursday it is considering selling Kumho Life Insurance Co., its insurance unit, to secure liquidity.

Kumho Life has been seeking approval from local bourse operator Korea Exchange
for an initial public offering (IPO), as part of the group's effort to raise
capital and fend off concerns about a credit crunch.

On July 31, Kumho Asiana said it will raise about 4.57 trillion won (US$4.5
billion) by selling properties and shares of its affiliates.

"All possible measures to sell stakes in Kumho Life Insurance are on the
table as the stock market remains sluggish. Measures include the sale of the
group affiliates' whole stake in Kumho Life and the sale of part of their stake
before or after it goes public," Kumho Asiana said in a statement.
"However, any measures have yet to be finalized."

Kumho Asiana affiliates hold a 69.84 percent stake in Kumho Life. Korea Kumho
Petrochemical Co. owns a 23.83 percent stake in the life insurer, followed by
Asiana Airlines Inc. with 23.14 percent and Kumho Industrial Co. with 16.16
percent.

"Kumho Life has named JP Morgan lead manager for its listing on the Seoul
bourse, but it has yet to name the U.S. investment bank lead manager for its
sale," said Kim Sang-woo, a spokesman for the group.