Daewoo Shipbuilding & Marine Engineering Construction - Seongji Construction - Mugunghwa Trust, Real Estate Development Business Agreement

[Asia Economy Reporter Jang Hyowon] Daewoo Shipbuilding & Marine Engineering Construction, a subsidiary of Korea Technology, a KOSDAQ-listed company, announced on the 14th that it signed a 'Business Agreement for New Real Estate Development Projects' with Seongji Construction (CEO Lee Yongseung) and Mugunghwa Trust (Chairman Oh Changseok) at the main conference room of Mugunghwa Trust headquarters in Gangnam-gu, Seoul.

On the 14th, at the Mugunghwa Trust building in Gangnam-gu, Seoul, (from left) Seo Bok-nam, CEO of Daewoo Shipbuilding & Marine Engineering Construction, Kwon Jun-myeong, CEO of Mugunghwa Trust, Chairman Oh Chang-seok, and Lee Yong-seung, CEO of Seongji Construction, are taking a commemorative photo.

The signing ceremony was attended by Daewoo Shipbuilding & Marine Engineering Construction CEO Seo Boknam, Vice President Baek Unggeol, and employees, Seongji Construction CEO Lee Yongseung, Vice President Kim Suhyun, Mugunghwa Trust Chairman Oh Changseok, CEO Kwon Junmyung, and employees.

According to the business agreement, the three companies will establish a mutually strategic cooperative relationship regarding future real estate development, construction, and trust projects.

Regarding real estate development projects conducted by Mugunghwa Trust, construction participation opportunities will be granted to the two construction companies, and the two companies will utilize Mugunghwa Trust's trust products when executing real estate mortgage loans and project financing (PF) loans to provide competitive construction services within the industry.

Seo Boknam, CEO of Daewoo Shipbuilding & Marine Engineering Construction, stated, "Combining our construction capabilities with Mugunghwa Trust's trust expertise will create greater synergy in the construction business," adding, "Trust companies can secure stable construction partners, and construction companies can manage funds more smoothly, making this a 'win-win' agreement."

The company defined this agreement as the first official cooperation case with Seongji Construction and plans to continue efforts for mutual growth in the future.

Daewoo Shipbuilding & Marine Engineering Construction, emphasizing three management philosophies of talent, finance, and marketing, acquired 4,168,055 registered common shares (29.28%) in August, becoming the largest shareholder of Seongji Construction.

Mugunghwa Trust has established itself as a strong player in the domestic real estate trust market based on rapid annual growth and acquired Hyundai Asset Management, a comprehensive asset management company, in 2020 to pursue growth as a comprehensive real estate finance group.

Founded in 1969, Seongji Construction has undertaken national infrastructure projects such as Incheon Munhak Stadium, Daegu-Pohang Expressway, and Gyeongbu High-Speed Railway, and has expanded into various construction fields domestically and internationally.