Embattled Tongyang Group has sought court protection of its assets to avoid bankruptcy.
Two affiliates of Korea's 38th-largest conglomerate, Tongyang Networks and Tong Yang Cement, made the move on Tuesday, following in the footsteps of three other affiliates one day earlier.
The family-run conglomerate, once the country's fifth-largest, still needs to pay back about US$1 billion worth of debts in the next three months. The group has been striving to avoid a default by putting its thermal power and home appliance units on sale, but few buyers have shown interest in acquiring its assets.
The group will work with creditors of its other non-financial units to either spin them off from the group or undergo a debt workout program.
Tongyang Group started off as a cement manufacturer in the 1970s before later growing into a conglomerate with 29 affiliates.