SM Group, a prominent South Korean conglomerate, has expressed keen interest in acquiring HMM, the country's leading container shipping company.

Woo Oh-hyun, chairman of SM Group, told The Korean Economic Daily newspaper, “[SM Group] will immediately jump into the race for HMM once its sale is officially announced.”

“We have raised about 4.5 trillion won, including cash, cashable assets of affiliates and loans from banks,” he added.

Despite already owning the smaller shipping company, SM Line, the group is not deterred from bidding on HMM, which ranks as the world's eighth-largest carrier. “Some compare us to a shrimp that dares to swallow a whale, but that is impossible. SM Group is already a whale that is strong enough and big enough to take over other whales,” he tells the newspaper.

Regarding the acquisition, the chairman discloses that SM Group has settled on a price range it deems appropriate for obtaining the controlling stake in HMM. They are willing to offer up to KRW 4.5 trillion (approximately USD 3.5 billion). However, they emphasize that the price must not exceed this limit, not even by a single won, or they will withdraw their offer.

The South Korean government has long been preparing for the privatization of HMM and has recently appointed advisors and auditors to oversee the sale of a substantial stake in the company. Currently, the state-owned Korea Development Bank and Korea Ocean Business Corporation (KOBC) jointly hold 40.6% of HMM. SM Group is the third largest shareholder, holding a 6.56% stake. In the event the acquisition of HMM falls through, Chairman Woo Oh-hyun states that SM Group may consider exiting the shipping industry altogether and selling SM Line.