P&G;’s Planned Takeover a First in S. Korea

In the first major takeover of a South Korean company by a foreign investor, Proctor & Gamble Co. will buy a controlling share of Ssangyong Paper Co. Under the agreement announced over the weekend, Ssangyong Group, the South Korean conglomerate that owns the paper-making company, will sell 24.99% of the company for $69 million to the Cincinnati-based consumer-goods maker, Ssangyong officials said. P & G will increase its stake to 51% for management rights. If that does not happen by year-end, the takeover deal will be canceled, Ssangyong officials said. P&G; rival Kimberly-Clark Corp. of Dallas holds 17% of Ssangyong Paper. Ssangyong Group, South Korea’s sixth-largest conglomerate, owns 32.13%. Ssangyong Paper is a leading maker of disposable diapers, toilet paper and industrial wrapping paper.