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Samsung Heavy in new rights offering to cut credit risks, shares plunge

Reuters  |  SEOUL 

By Hyunjoo Jin and Cynthia KimSEOUL (Reuters) - South Korean shipbuilder Samsung Heavy Industries announced its second rights offering in two years to lessen the risk of tighter credit conditions and forecast a fourth straight year of operating losses, prompting a near 30 percent slide in its shares.The $1.4 billion new share issue, which follows a $1 billion issue in 2016, will be used to pay debt as well as to reduce the risk of banks curtailing lending due to its weak earnings prospects, Samsung Heavy said in a statement.South Korea's three shipbuilders - the world's biggest - have racked ...

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First Published: Wed, December 06 2017. 13:49 IST