Kumho Asiana Group has begun the process of disposing of its Asiana Airlines (OZ, Seoul Incheon) subsidiary following an announcement that it had put a 33.5% stake in the airline, controlled by its Kumho Industrial Co. subsidiary, up for sale.

The sale is being overseen by Credit Suisse which said in a bidding notice that it will issue a Prospectus and Preliminary Bidding Manual to would-be investors upon payment of a KRW5 million won (USD4,237) fee.

According to local media reports, the equity holding is valued at KRW448 billion won (USD380 million). However, if Asiana's various other subsidiaries such as its two LCCs Air Busan (BX, Busan), in which it owns a 46% stake, and Air Seoul (RS, Seoul Incheon) (wholly-owned) are included, the overall sale could fetch up to KRW2.5 trillion won (USD2.1 billion).

Kumho Industrial expects to receive an intent to buy from investors followed by preliminary bids by September. The submission of binding offers will be conducted in October with the overall aim to wrap up the sale by year-end.

Kumho Asiana Group is using the sale to secure liquidity for its own needs.