Hyundai Genuine to Serve as Intermediate Holding Company for Hyundai Heavy Industries... Acquisition of Doosan Infracore Shares (Update)

Hyundai Genuine Acquires 75,509,366 Shares of Doosan Infracore for 850 Billion KRW

[Image source=Yonhap News]

[Asia Economy Reporter Park Sun-mi] The acquisition entity of Doosan Infracore has changed from Hyundai Heavy Industries Holdings to Hyundai Genuine. As Hyundai Genuine purchased shares of Doosan Infracore, the No. 1 construction machinery company in Korea, Hyundai Genuine's role as an intermediate holding company within the Hyundai Heavy Industries Group has become clear.

According to the Financial Supervisory Service's electronic disclosure system on the 9th, Hyundai Heavy Industries Holdings announced that Hyundai Genuine will acquire 75,509,366 shares of Doosan Infracore for 850 billion KRW.

After acquiring the shares, Hyundai Genuine's stake in Doosan Infracore will be 35%. Hyundai Heavy Industries Holdings stated that the purpose of this share acquisition is "to secure management rights of Doosan Infracore."

Hyundai Genuine is a newly established corporation set up in February by Hyundai Heavy Industries Holdings, the holding company of Hyundai Heavy Industries Group, for the purpose of manufacturing civil engineering and similar machinery equipment. As all shares of Doosan Infracore held by Hyundai Heavy Industries Holdings were transferred to Hyundai Genuine, Hyundai Genuine will serve as the intermediate holding company for the group's construction machinery division.

Hyundai Genuine also announced on the same day that it will carry out a paid-in capital increase of 127.5 billion KRW.