Hanwa named preferred bidder for Daewoo Shipbuilding

South Korea's Yonhap news agency reports that Korea Development Bank (KDB) has picked chemical and energy-focused Hanwha Group as preferred bidder for a 50.37 percent controlling stake in Daewoo Shipbuilding & Marine Engineering Co., the world's third largest shipbuilder.

KDB plans to sign a final deal with Hanwha within the year, after a three or four-week due diligence process starting early November.

KDB did not reveal the bidding price, but Yonhap reports that some market analysts estimate the value of the stake at over US$5 billion.