New report: Kia, Hyundai, Hyundai finance,corporate governance
Exeter Finance Corp. is the latest company to report that it will no longer use Kia or Hyundai as the name of its business unit, citing financial risks that arose from the bankruptcy.
The report by financial analyst David Kieler, who worked for the former company for about a year, said the financial risks involved were “serious” and “unprecedented.”
Kielers report came on the heels of the company’s filing for bankruptcy in the U.S. on Thursday, according to a release from the New York-based firm.
Kiels report, which was provided to The Globe, said Kia has been unable to pay its creditors and that it has “no ability to provide meaningful services to the Company’s creditors.”
The report said that Kia’s creditors have filed “substantial” claims, which include “claims for the payment of outstanding dividends and interest, claims for the repayment of long-term debts, claims on long-standing debts, and claims on unsecured debt and secured credit.”
The Kia report also said the company has “serious concerns about the ability of Kia and its financial advisers to meet their obligations under the Bankruptcy Laws.”
The Financial Times of London said the report was based on a “full review” of Kialas finances, which it said would be conducted after Kia files its bankruptcy petition.
Kialers report was first reported by the Financial Times.
Exeter Financial said in a statement that it was working with the Kialer report and would provide additional details once the company files its petition.
Exeth is the name given to the company that runs Exeter, the University of Exeter and the University Hospitals of Southampton and London.
The news comes after Exeter announced that it is in talks with a number of foreign lenders to extend its partnership with a bank in India, where it operates the Exeter Global Finance Centre.