Belgian companies claim nearly 5 billion in compensation from the Korean state
In the early 2000s, the American investment fund Lone Star invested heavily in Korea, via Belgian subsidiaries. Before an arbitral tribunal, the latter are today denouncing several decisions of the Korean authorities and demanding $ 4.7 billion in compensation. How did Belgium find itself involved in this economic and judicial affair?
By Julien Bialas
VStale of a boxing match-like fight. It is opposed to two very powerful players in the world economy. On the one hand, South Korea, a country in East Asia, member of the G20, tenth world economy in 2021. On the other, seven Belgian companies (and one from Luxembourg). All are subsidiaries of Texas-based Lone Star. “A company that invests worldwide in real estate, stocks, credit and other financial assets,” according to their website. In total, the company manages around twenty funds with “capital commitments totaling more than $ 85 billion”. In particular, it owns parts of the German chemicals group BASF (present in Belgium). It was until there was little majority shareholder of Balta (Belgian flooring company) and had recovered with Credit Suisse, in 2013, the bad bank of Fortis housing the toxic assets.
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