[Market Focus] Hyundai Him Surges Over 14% as Sale Process Accelerates

Hyundai Him's shares surged sharply in early trading on July 22. This is interpreted as a surge in investor interest after private equity fund (PEF) manager J&Private Equity (J&PE) began the process of selling Hyundai Him.

As of 9:25 a.m. on this day, Hyundai Him was trading at 21,450 won, up 2,690 won (14.34%) from the previous trading day.

J&PE, the largest shareholder of Hyundai Him, recently began distributing investment prospectuses to potential investors through sale managers NH Investment & Securities and Samil PwC. The stake up for sale is about 53.06% held by J&PE.

It is reported that more than 10 parties, including global PEs, leading domestic PEs, existing shipbuilding companies, and several conglomerates seeking to enter the shipbuilding business as a new venture, have shown interest in the acquisition.

J&PE acquired Hyundai Him in 2019 by investing in redeemable convertible preferred shares (RCPS) worth 100 billion won, thereby obtaining a 75% stake.

Hyundai Him is the leading ship block manufacturer in Korea, with a solid cash generation capability based on a stable customer base in HD Korea Shipbuilding & Offshore Engineering.