Motrol, Which Left Doosan 4 Years Ago, to Be Reacquired by Doosan Bobcat

Resolution to Enter into Stock Purchase Agreement at Board Meeting
Business Unit Sold by Doosan to Private Equity Fund in 2020
Vice Chairman Scott Park: "Will Create Synergy"

Doosan Bobcat is set to acquire Motrol, a specialized hydraulic parts company for heavy equipment that Doosan sold four years ago as part of its financial improvement measures.

Doosan Bobcat announced on the 12th that its board of directors has resolved to acquire 100% of Motrol's shares for 246 billion KRW.

Founded in 1974, Motrol was the first company in Korea to develop hydraulic equipment. It produces hydraulic motors, pumps, and main control valves for construction equipment at its factories in Changwon, Gyeongsangnam-do, and Changzhou, Jiangsu Province, China.

Motrol was acquired by Doosan Heavy Industries in 2008 and became Doosan Motrol, then merged into Doosan in 2010 as the Motrol business division. In December 2020, facing financial difficulties, Doosan sold 100% of Motrol's shares to the private equity consortium Socios PE-Welltouch Investment for 453 billion KRW as part of restructuring.

Last year, the Socios PE-Welltouch Investment consortium split Motrol into defense and civilian sectors, maintaining the Motrol brand for the civilian sector, which was sold to Doosan Bobcat.

Scott Park, Vice Chairman of Doosan Bobcat, said, "We have decided to acquire Motrol, a company possessing core hydraulic technology essential for construction and industrial equipment. With world-class products and technology, Doosan Bobcat and Motrol will create synergy through vertical integration while expanding Motrol’s scale by increasing external orders."

Doosan Bobcat plans to complete the acquisition of Motrol around September after undergoing the Fair Trade Commission’s corporate merger review.

This content was produced with the assistance of AI translation services.