Fincantieri and Damen among shipbuilders trying to gain control of Korean and French plants.
Four bidders have submitted offers for STX Offshore & Shipbuilding and its STX France shipyard.
They include French naval yard group DCNS, Italian cruiseship specialist and Dutch shipbuilder Damen, according to industry sources cited by the Korea Economic Daily.
The other name has not been revealed, but is not thought to be a Korean rival.
A 66.7% stake is up for grabs in STX France, of which the French state will retain the rest.
The Seoul bankruptcy court overseeing the auction has previously said it is allowing bidders to buy the Korean company and its European subsidiary separately or together.
It is not clear who has bid for what, but Fincantieri and Damen are rumoured to be targeting STX France only.
The court has only confirmed there are four interested parties.
They will carry out due diligence for two weeks before lodging final offers.
The sale is being conducted as part of the group’s court-led restructuring.
By Gary Dixon, Tradewinds
