HD Hyundai Construction Equipment and HD Hyundai Infracore to Merge... Integrated Corporation Launches Next Year

HD Hyundai Construction Equipment to Merge as Surviving Entity
Integrated Corporation Named 'HD Construction Equipment'... Dual-Brand System Maintained
Aiming for 14 Trillion Won in Annual Sales... Aspiring to Become a Global Top-Tier Company

HD Hyundai Construction Equipment and HD Hyundai Infracore, the construction machinery affiliates of HD Hyundai Group, have decided to merge. The new integrated entity, tentatively named 'HD Construction Equipment,' is scheduled to launch on January 1 next year.

On July 1, both companies held separate board meetings and announced that the merger proposal had been approved. The merger will proceed with HD Hyundai Construction Equipment as the surviving entity, while HD Hyundai Infracore will be absorbed into it. The two companies plan to hold an extraordinary general meeting of shareholders and undergo a business combination review on September 16, after which the integrated corporation will officially launch next year. After the merger, the combined annual sales are estimated to be approximately 8 trillion won. The merger ratio is set at 0.1621707 shares of HD Hyundai Construction Equipment common stock for each share of HD Hyundai Infracore common stock.

HD Hyundai aims to unify its decision-making system through this merger and plans to enhance cost competitiveness and business efficiency by optimizing its product lineup and specializing its production system. The company also intends to expand investments in research and development (R&D) focused on future technologies such as electrification and smart equipment, and to foster its engine and parts maintenance (AM) business.

Additionally, through the integrated corporation, the company has set a goal to achieve annual sales of 14.8 trillion won by 2030 and to become a global top-tier construction equipment company. The dual-brand system will be maintained, with both 'HYUNDAI' and 'DEVELON' brands operated together.

Cho Youngcheol, President of HD Hyundai Site Solution, stated, "This merger in HD Hyundai's construction equipment division will serve as a catalyst for sustainable growth," adding, "We will establish a new milestone in the development of Korea's construction equipment industry and solidify our position in the global market."

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