Hyundai ‘to grow Doosan Infracore’

By Mike Hayes11 February 2021

Hyundai Heavy Industries has confirmed its takeover of Doosan Infracore for KRW850 billion (€635 million).

With its consortium partner, KDB Investment, Hyundai signed the formal contract to acquire a 34.97% share in the company on 5 February, giving it management control of the company.

According to Hyundai, Doosan Infracore will retain its independent management system and all efforts will be made to retain current employee levels.

The company also said it expects the deal to elevate both companies to the highest levels within the global construction market, through a combination of economies of scale and investment in advanced technologies, including electromobility and automation.

Hyundai Heavy Industries’ chairman Kwon Oh-gap, said, “We are happy to have Doosan Infracore, the top domestic construction equipment manufacturer with great talents and know-how, under our umbrella, and we feel a heavy responsibility to make it a better business. We will spare no effort in investing in futuristic technologies to keep abreast of the flow in the market for the two companies to enhance their status to top-tier position in the world market.”

Hyundai is acquiring the 36% stake in Doosan Infracore that is owned by Doosan Heavy Industries & Construction. The remaining shares in Infracore are traded on the Korean Stock exchange. Although not a majority stake, this is the largest single shareholding in the company and confers management control.

The deal does not include Doosan Bobcat. Doosan Infracore holds 51% of Doosan Bobcat, with the rest of the shares traded on the Korean stock exchange. It is understood that the 51% holding will be transferred to another part of the Doosan group prior to Hyundai closing its acquisition of the 36% in Doosan Infracore.

MAGAZINE
NEWSLETTER
Delivered directly to your inbox, Demolition & Recycling International Newsletter features the pick of the breaking news stories, product launches, show reports and more from KHL's world-class editorial team.
Latest News
German demo conference to look at new government
Examination of policies for demolition to form keynote speech in Berlin next year
San Diego open for business, says NDA
2022 Convention and Expo takes place in February; registration now open
Tiltrotator specialist sets up in South Korea
Sweden-based Engcon establishes new company in bid to sell outside ‘saturated’ Nordic markets
CONNECT WITH THE TEAM
Steve Ducker Editor, Demolition & Recycling International Tel: +44(0) 1892 786 210 E-mail: steve.ducker@khl.com
Bridget Leary Sales Manager Tel: +44 (0) 1892 786 220 E-mail: bridget.leary@khl.com
CONNECT WITH SOCIAL MEDIA