DYD Completes Payment for Acquisition of Sambutogeon... Becomes Sole Largest Shareholder

Payment of 26 Billion KRW Completed on the 24th
A Total of 70 Billion KRW Invested to Secure 17.5 Million Shares

[Asia Economy Reporter Cha Wanyong] DYD has completed the payment for the acquisition of Samboo Construction, Korea's first construction company, becoming the sole largest shareholder.

On the 24th, DYD announced that it paid 26 billion KRW in stock acquisition funds to five companies including Iseok Industrial Development and completed the acquisition of 6.5 million shares of Samboo Construction.

The payment was made by issuing 16 billion KRW in cash and 10 billion KRW worth of 6th series convertible bonds to the sellers.

With this, DYD became the largest shareholder of Samboo Construction, holding a total of 17.5 million shares (8.85% stake) including previously held shares. The total investment amount reached 70 billion KRW.

Founded in 1948 with Korea's first construction business license, Samboo Construction is a mid-sized construction company that has grown mainly through major civil engineering projects. It was responsible for the construction of the Gyeongin and Gyeongbu Expressways and Seoul Subway Line 1, focusing on domestic contract construction and self-developed construction sales projects. Recently, it has been recognized for its competitiveness by consecutively winning new logistics center construction projects.

DYD expects the acquisition of Samboo Construction to accelerate its comprehensive construction business. The company aims to achieve rapid growth through synergy with the infrastructure owned by Samboo Construction.

Since obtaining a comprehensive construction business license in April last year, DYD has been developing residential facilities such as townhouses and officetels in areas including Ilsan, Goyang City, and is expanding its business with a golf course development project in the Pocheon area.

Its affiliate, Daeyang Industrial Development, also has experience in various real estate development projects, such as participating in the Witty City apartment complex development in the Ilsan Siksa district.

A DYD official said, “Along with stabilizing management rights through the sole acquisition, we will expand our real estate development business encompassing civil engineering, construction, and architecture. By adding Samboo Construction’s construction capabilities, we will accelerate growth into a comprehensive construction company capable of handling large-scale projects.”