GM Generali

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GM Daewoo Auto & Technology Co. hasn't received an offer from Korea Development Bank to buy an additional stake in the South Korean unit of General Motors Corp. (GM), a company executive said Friday.

"No such talks have been held with KDB," GM Asia Pacific President Nick Reilly said in a press briefing held in downtown Seoul.

He made the comment in response to local media reports that the state-run bank is considering buying an additional stake in GM Daewoo to help the cash-strapped company.

Reilly also said the currency-forward contracts extended by three months by eight South Korean banks, including KDB, are worth $500 million.

But "the remaining 50% of currency forwards (coming due in May-June) will be paid on time...from next week as planned," said Reilly, who is also a GM group vice president.

If GM declares bankruptcy, GM companies in Asia-Pacific region will remain part of the newly-restructured GM, he said.

KDB is GM Daewoo's second-largest shareholder with a 28% stake. The rest of the South Korean carmaker is owned by GM and GM-affiliated companies.

-By Kyong-Ae Choi, Dow Jones Newswires; 822-2198-2230; kanga.kong@dowjones.com