Operating a Total of 103 Buses Including 33 Airport Buses
2023 Sales Reached 32.8 Billion KRW and EBITDA 6.1 Billion KRW
Hanyang Express, a highway and intercity bus company connecting the Chungcheong region and the Seoul metropolitan area including Incheon Airport, has been put up for sale in the merger and acquisition (M&A) market.
According to the investment banking (IB) industry on the 17th, 100% of the existing shares of Hanyang Express are being sold at a price in the mid-to-high 50 billion KRW range.
Founded in 1968, Hanyang Express is based in Daejeon, Chungnam, and Sejong, and operates bus routes to Incheon Airport.
It operates multiple routes from the northwestern Chungnam area (Dangjin, Seosan, Taean) to Central City, Daejeon, Incheon, and Bucheon. Since October 2022, it has also introduced premium buses on the Daejeon-Incheon Airport route for the first time.
Airport routes are classified as intercity buses and have permanent licenses without periodic renewal like Seoul airport buses.
Currently, it operates a total of 103 buses, including 33 airport buses, with plans for continuous fleet expansion. All vehicles are 100% Hyundai-Kia.
In 2023, it recorded sales of 32.8 billion KRW and an EBITDA of 6.1 billion KRW. EBITDA is expected to reach 7.1 billion KRW in 2024.
An IB industry official explained, "There is a barrier to entry that prevents new operators from entering," adding, "Considering cost-benefit and travel time for airport transfers in the Daejeon and Chungnam regions, alternative transportation options have low utilization."
He analyzed, "With a simple business model, it has a very stable business structure with high predictability of profits and cash flow, making it more stable compared to other companies. Factors driving sales growth include the resumption of suspended routes due to COVID-19, expansion of Incheon Airport, and an increase in average selling price (ASP) due to the transition to premium buses."
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